PALMOILMAGAZINE, JAKARTA – Crude palm oil (CPO) prices strengthened in both domestic and international markets on Thursday (July 23, 2026), supported by gains in global vegetable oil markets and firmer crude oil prices that boosted sentiment across the palm oil sector.
According to Reuters, benchmark CPO futures on the Bursa Malaysia Derivatives Exchange opened higher, with the October 2026 contract rising RM89 per metric ton, or 1.93%, to RM4,711 per metric ton in early trading.
The rebound marked a recovery after several sessions of declines, as investors responded positively to improving prices across major vegetable oil markets, enhancing palm oil’s competitiveness against rival edible oils.
Also Read: CPO Market Under Pressure as KPBN Tender Withdraws and Malaysia Futures Slide
In Indonesia, PT Kharisma Pemasaran Bersama Nusantara (KPBN) also reported stronger domestic prices. The Franco Dumai CPO price was set at IDR 15,800 per kilogram, up IDR 289/kg, or 1.86%, from Wednesday’s (July 22) highest bid of IDR 15,511/kg.
The positive momentum was reinforced by gains in other global vegetable oil markets. On China’s Dalian Commodity Exchange, the most active soybean oil futures rose 0.66%, while palm oil futures advanced 2.53%. Meanwhile, soybean oil futures on the Chicago Board of Trade (CBOT) gained 0.89%, providing additional support for international palm oil prices.
Higher crude oil prices also improved the outlook for biodiesel demand, increasing the attractiveness of vegetable oils, including palm oil, as renewable fuel feedstocks. This development remained one of the key catalysts behind the recovery in CPO prices.
Market participants are now closely monitoring production and export trends in leading palm oil producers, including Indonesia and Malaysia, as well as price movements in competing vegetable oils, which are expected to remain the primary drivers of short-term market direction.
With prices recovering in both domestic and international markets, sentiment heading into the end of the trading week has turned more constructive, although volatility is likely to persist amid ongoing fluctuations in global energy and commodity markets. (P3)
