PALMOILMAGAZINE, KUALA LUMPUR – The crude palm oil (CPO) contract price at the Malaysia Derivatives Exchange may face volatility next week. David Ng, a CPO dealer, anticipates that prices could decline to between RM3,600 and RM3,750 per ton.
This potential drop follows a sluggish soyoil market, impacted by oversupply due to increased planting in South America, as reported by Palmoilmagazine.com citing Bernama on Sunday, August 18, 2024.
In week-on-week comparisons, the new spot price for September 2024 is expected to rise by RM45, reaching RM3,872 per ton. The price for October 2024 may increase by RM6 to RM3,752 per ton, while November 2024 is projected to decrease by RM42 to RM3,681 per ton.
Also Read: Understanding Global Factors Influencing CPO Price Predictions
The December 2024 contract price could fall by RM58 to RM3,659 per ton, and January 2025 might decrease by RM73 to RM3,653 per ton. February 2025 prices are expected to remain stable at RM3,655 per ton. As of Thursday, August 2024, the price is anticipated to be around RM3,890 per ton.
The weekly volume could significantly decrease to be 312.466 lots from 427.161 lots to the previous week, while open interest could too to be 225.277 from 278.122 contracts in the previous week.
August CPO physics in the south could be increasing RM 20 to be RM 3,920 per ton on Friday while it was at RM 3,900 at the previous weekend. (P2)
