PALMOILMAGAZINE, KUALA LUMPUR – On Monday (August 7, 2023), the reference price of the crude palm oil (CPO) contract at Bursa Malaysia Derivatives Exchange experienced a decline. This decrease was attributed to traders’ concerns about a potential increase in global supply due to escalating tensions in the Black Sea region.
According to Reuters, the reference price for the CPO contract with the code FCPOc3, set for delivery in October 2023 at Bursa Malaysia Derivatives Exchange, dropped by RM 1 or approximately 0.03%. The price settled at RM 3,858 per metric ton (MT) during the trading session.
Survey from Reuters showed that CPO stock in Malaysia by the late of July 2023 would get higher for the past five months because the production could not balance the increasing exports.
Also Read : Malaysia’s CPO Price Declines: Traders Anticipate Export Data
The traders still wait for data from Malaysian Palm Oil Board (MPOB) and it is scheduled to be on this Thursday.
Senior officer in MPOB noted that palm oil exports from Malaysia in 2023 could be increasing to be 16 million MT compared to 2022 production that reached 15,72 million tons.
Still from Reuters, soyoil contract price at Dalian Exchange with the code DBYcv1 decreased 0,6%. CPO contract price with the code DCPcv1 did decrease 0,03%. Soyoil price at Chicago Board of Trade BOcv1 also decreased 1%. (T2)
