Palmoilmagazine, KUALA LUMPUR – Crude palm oil (CPO) price at Bursa Malaysia Derivative Exchange, Thursday (12/5/2022) got cheaper after it was increasing in the previous session. It happened because soyoil price at Chicago Board of Trade and crude oil at the Exchange Trade were also decreasing though the exports got increasing in the early days of May. This postponed the loss.
CPO reference contract at FCPOc3 for July 2022 delivery at Bursa Malaysia Derivatives Exchange decreased RM 57 per ton or about 0,88% to be RM 6.419 (US$ 1.464,19) per ton in the early trade.
As Palmoilmagazine quoted from Reuters, CPO exports from Malaysia on 1 - 10 May 2022 increased 45,2% from the same week in April 2022, as cargo surveyor - Societe Generale de Surveillance reported, Wednesday (11/5/2022).
Soyoil contract at Dalian, DBYcv1 increased 1%, while CPO contract at DCPcv1 increased 0,7%. Soyoil price at Chicago Board of Trade BOcv1 decreased 0,9%.
CPO price got cheaper after it increased for more than 5% in the previous sesson because the new sanction delivered to Russion on the gas companies in European Union. Crude oil price in the trade made palm oil less interesting as biodiesel material.
Vegetable oil analysis who is also Director of Godrej International Ltd, Dorab Mistry predicted, China would not be the biggest vegetable oil consumer in the world for the country is now facing the slow economic progress and would get zero Covid.
Reuters’ technical analysis, Wang Tao predicted, CPO could be at RM 6.602 per ton, and potentially increasing at RM 6.758 per ton. (T2)