KUALA LUMPUR (June 21): Weak market fundamentals continued to weigh on the crude palm oil (CPO) futures contract on Bursa Malaysia Derivatives, sending the market into its fifth consecutive day of downtrend on Tuesday 21 June.
Singapore-based owner and co-founder of Palm Oil Analytics, Sathia Varqa, said the trading pattern was mixed but the futures market managed to pare all losses towards the close to end nearly unchanged from the close. at Monday’s prices.
“A massive sell-off of palm oil and soybeans on the Dalian Commodity Exchange, weak export data from June 1 to 20, as well as an increase in palm exports from Indonesia ahead of the months of maximum production. (All of these) have combined to drive down the future of the palm.
“Nevertheless, bargain hunting following the low prices supported the futures market (against further losses),” he said. Bernama.
At close, the CPO futures contract for the July 2022 spot month fell RM51 to RM5.21 per tonne, September 2022 slipped RM1 to RM4,980 per tonne and October 2022 lost RM15. at RM4,940 per ton.
However, August 2022 was RM5 better at RM5,065 per ton.
Total volume declined to 84,565 lots on Tuesday from 94,727 lots on Monday, while open interest narrowed to 295,727 contracts from 310,748 contracts.
The physical CPO price for July South fell by RM150 to RM5,300 per ton.