PALMOILMAGAZINE, BEIJING – The price of Crude Palm Oil (CPO) at the Malaysia Derivatives Exchange saw a decline on Monday, November 6, 2023. This decrease was attributed to the strengthening of the Malaysia Ringgit (MYR) and the anticipation of rising stock levels in October 2023.
According to information reported by Reuters, the CPO reference contract with the code FCPOc3 for delivery in January 2024 at the Malaysia Derivatives Exchange decreased by RM 38 per ton, which equates to approximately a 1.01% decrease, bringing it to RM 3,730 (equivalent to US$ 799.06) during the early trading session.
The Malaysia Ringgit (MYR), which is the official currency in palm oil trade, appreciated by 1.23% against the US dollar. This strengthening of the MYR resulted in increased costs for traders dealing in foreign currencies.
Also Read :
- CPO Price at KPBN Tender fell 0.96% on Monday (6/11)
- Palm Oil Research Program to Develop Sustainable Palm Oil Industry
- Garuda Indonesia Trials Palm-based Bioavtur, Exploring for Commercial Flights
- Garuda Indonesia Commercial Flight Test Advances Net-Zero Emission (NZE) Target Achievement
- Malaysia’s MSPO Revision Standards Set to Be Implemented by Early 2025
- MPOB to Launch Traceability Application Connecting 500 Thousand Smallholders in Malaysia
Survey by Reuters on Friday (3/11) mentioned that palm oil stock in Malaysia by the late of October was in the highest level since May 2019 because of higher production and decreasing exports. These escalated October stocks.
Palm oil production globally could be decreasing next year because of the impacts of El Nino while demands in vegetable oil and energy sectors would be also increasing. These would have something to do with the price, as industrial analysts mentioned last week.
Industrial analyst, Dorab Mistry said that palm oil production in Indonesia would be decreasing, at least, one million metric tons. Malaysia’s palm oil production would have no change.
Still from Reuters, soyoil conract price at Bursa exchange with the code DBYcv1 decreased 0,22%, CPO contract with the code DCPcv1 did too 0,8%. Soyoil price at Chicago Board of Trade BOcv1 increased 0,06%.
Palm oil has something to do with other vegetable oil price because they compete to get parts in vegetable oil trade globally. (T2)
