Crude palm oil prices slump


KUALA LUMPUR: Crude palm oil (CPO) futures contract on Bursa Malaysia Derivatives ended lower on Wednesday amid overnight weakness in the soybean oil market on the Chicago Board of Trade.

According to palm oil trader David Ng, the market was also down due to the expectation of higher output in the coming weeks in line with seasonally higher production period.

“Hence, we locate the next support level at RM3, 300 and resistance at RM3, 480 per tonne, ” he told Bernama.

At the close, the CPO futures contract for new spot month July 2021 fell RM72 to RM3, 642 per tonne, August 2021 slipped RM123 to RM3, 580 per tonne, September 2021 decreased RM144 to RM3, 542 per tonne, and October 2021 shrank RM145 to RM3, 527 per tonne.

Total volume trimmed to 85, 225 lots from 87, 859 lots on Tuesday, while open interest dropped to 262, 306 contracts from 265, 802 contracts previously.

The physical CPO price for June South eased RM30 to RM3, 720 per tonne. – Bernama

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