PALMOILMAGAZINE, JAKARTA – The Crude Palm Oil (CPO) contract price at the Malaysia Derivatives Exchange saw a significant decline on Tuesday, September 19, 2023, marking the second consecutive session of losses due to a general decrease in prices of other vegetable oils.
The reference CPO contract price, identified with the code FCPOc3, for delivery in December 2023 at the Malaysia Derivatives Exchange, dropped by RM 43 per ton, representing approximately a 1.15% decrease, bringing it down to RM 3,706 (USD 790.36) per metric ton during early trading, as quoted from Reuters.
Similarly, the price of Soyoil with the code DBYcv1 at the Dalian Exchange experienced a decline of 1.68%, while the CPO contract price with the code DCPcv1 decreased by 1.47%. Additionally, Soyoil prices at the Chicago Board of Trade, identified as BOc2, also dipped by 0.62%.
Also Read : Significant RM 74 per Ton Increase in CPO Price at Malaysia Exchange
The dynamics of palm oil prices are closely interconnected with other vegetable oil prices as they compete for market share in the global vegetable oil markets.
In this context, technical analysis conducted by Reuters’ expert Wang Tao suggests that the CPO, coded as FCPOc3, may potentially reach its lowest level, akin to its value on September 12, at RM 3,667 per ton, given the prolonged period of fluctuation. (T2)
