CPO futures finish mixed as inventory concerns weigh
Nearer-dated contracts declined while February to April 2027 contracts rose, with trading volume and open interest also lower.
Crude palm oil (CPO) contracts posted mixed closing prices on Bursa Malaysia Derivatives on Oct 19, as worries about rising palm oil stocks pressured sentiment.
David Ng, proprietary trader at Iceberg X Sdn Bhd, said weaker crude oil prices added to the pressure. He said gains in vegetable oils on the Dalian Commodity Exchange and expectations of increased Indian palm oil demand before Deepavali helped contain losses.
Closing prices and movements by contract were:
- November 2026: down RM21, closing at RM4,515 per tonne.
- December 2026: down RM10, closing at RM4,666 per tonne.
- January 2027: down RM3, closing at RM4,766 per tonne.
- February 2027: up RM5, closing at RM4,857 per tonne.
- March 2027: up RM10, closing at RM4,936 per tonne.
- April 2027: up RM9, closing at RM4,993 per tonne.
Volume fell from 133,428 lots last Friday to 106,846 lots, while open interest eased from 339,364 contracts to 332,357 contracts. In the physical market, November South CPO gained RM30, reaching RM4,530 per tonne.
Ng told Bernama that improving export demand could limit further declines, although elevated domestic inventories might restrain a recovery. He placed support at around RM4,600 per tonne and resistance at RM4,850 per tonne.
