Malaysian palm oil futures declined across the benchmark contracts on August 24 as traders took profits following a rally to a 20-month high, while weaker crude oil prices added pressure to the vegetable oil market.
PALMOILMAGAZINE, JAKARTA — Crude palm oil (CPO) futures on Bursa Malaysia Derivatives closed lower on Monday, August 24, 2026, as traders took profits following the market’s strong rally to a 20-month high in the previous week.
The decline affected all benchmark contracts, while weaker global crude oil prices added further pressure to the vegetable oil market.
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According to Bernama, Brent crude fell 1.93% to US$93.03 per barrel during Monday’s trading session. The decline in crude oil prices added pressure to the broader commodities market, including palm oil.
At the close, the September 2026 CPO contract fell RM71 to RM4,720 per metric ton. The October 2026 contract declined RM75 to RM4,859 per ton, while the November 2026 contract dropped RM72 to RM4,946 per ton.
The December 2026 contract fell RM64 to RM5,013 per ton. Meanwhile, the January 2027 contract declined RM54 to RM5,064 per ton, while the February 2027 contract dropped RM42 to RM5,099 per ton.
Also Read: Indonesia CPO Price Falls to IDR 15,844/kg as KPBN Tender Withdraws
Indonesia’s KPBN CPO Bid Also Declines
The weakness in Bursa Malaysia coincided with a decline in the highest CPO bid at PT Kharisma Pemasaran Bersama Nusantara (KPBN).
On Monday, August 24, the KPBN CPO tender ended in withdraw (WD), with the highest bid recorded at IDR 15,844/kg.
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The highest bid was down IDR 44/kg, or 0.28%, from IDR 15,888/kg recorded on Friday, August 21.
The simultaneous decline in Malaysian palm oil futures and the lower highest bid at the KPBN tender indicate that the CPO market has entered a consolidation phase following the sharp rally recorded the previous week.
Nevertheless, Indonesia’s CPO market continues to receive support from relatively firm domestic demand. The implementation of the B50 biodiesel program is expected to keep domestic CPO consumption elevated and provide a buffer against pressure from the global market. (P3)
