PALMOILMAGAZINE, SINGAPORE The contract price of crude palm oil (CPO) at the Malaysia Derivatives Exchange experienced a continual decline for the fourth consecutive session on Wednesday (3/1/2024), reaching the lowest point in the last two months. This downward trend is attributed to a reduction in demand and the more affordable pricing of soyoil.
According to information from Reuters, the CPO reference contract, identified as FCPOc3 for March 2024 delivery at the Malaysia Derivatives Exchange, saw a decrease of RM 43 per ton, approximately 1.2%, settling at RM 3,617 (US$ 780.87) per metric ton by midday.
Paramalingam Supramaniam, the director of Pialang Pelindung Bestari in Selangor, remarked that there is no discernible trend in the palm oil market. Factors influencing market dynamics include diminishing demand, expectations of an improved Malaysian ringgit, and rainfall in Argentina, which contribute positively to the outlook for soyoil.
Also Read: CPO Market at Malaysia Exchange Sees 0.8% Upward Surge on Friday
Still from Reuters, the soyoil contract price at Dalian with the code DBYcv1 and the CPO contract price with the code DCPcv1 decreased by 1.8% and 2%, respectively. Soyoil price at Chicago Board of Trade BOcv1 decreased by 1.1%.
CPO has something to do with other vegetable oil prices because they compete to get a part in the vegetable oil trade globally. (T2)
