Login ID:
Password:
Partner Login
Contact Us : 7066511911

BMD CPO Ups 3% On Fears Of More Malaysian Plantation Closures, Firm Rival Oils

7 Apr 2020 4:28 pm
 Comments 0 Comments  |  Comments Post Comment  |  Font Size A A A 

Mumbai (Commodities Control) – Malaysian palm oil futures shot up 3.5% in Tuesday’s session on fears that Malaysia would suspend more plantations as it steps up coronavirus containment efforts, while stronger soybean oil also supported prices.

BMD palm oil June contract closed up 65 ringgit, or 2.9%, to 2,315 ringgit ($534.03) per tonne, its biggest daily rise since March 20. The active traded within the range of Rinngit 2261 and Ringgit 2332 per tonne during the session, while the volume was reported at 61,087.

Palm spiked in the afternoon session on fears that Malaysia's biggest palm producing state, Sabah, would extend its shutdown orders on some plantations after Sabah state chief minister Shafie Apdal said he would discuss the closure at a cabinet meeting.

Palm has been pressured by demand uncertainties as major importing countries, including India, impose lockdowns to check the coronavirus spread.

"Although palm oil supply is being negatively impacted by government coronavirus containment measures as plantation operations are being disrupted, we believe demand destruction will be greater and send prices lower," Fitch Solutions said in a research note.

Fitch Solutions forecast palm oil prices to trade at an average price of 2,300 ringgit ($529.34) a tonne this year.

DCE soyoil contract gained 1.71%, while its palm oil contract rose 1.57%. Soyoil prices on the Chicago Board of Trade were also trading up 1.45%.

Palm oil is affected by price movements in related oils as they compete for a share in the global vegetable oils market.

Crude oil prices also rose on Tuesday amid hopes that the world's biggest producers will agree to cut production, even though analysts cautioned it may do little to boost demand. Stronger crude oil futures make palm a more appealing option for biodiesel feedstock.

(Commodities Control Bureau)


       
  Rate this story 1 out of 52 out of 53 out of 54 out of 55 out of 5 Rated
0.0

   Post comment
Comment :

Note : This forum is moderated. We reserve the right to not publish and/or edit the comment on the site, if the comment is offensive, contains inappropriate data or violates our editorial policy.
Name :  
Email :  
   

Top | Post Comment  

Latest Market Commentary
Cotton Prices In Karnataka Holds Steady
CAI Drops Cotton Production Estimate To 330 Lk Bales
M.P Cotton Prices Steady Amid Weak trade
Cotton Firms Up Rs 100 In Lower Rajasthan
Cotton Prices Rise In North India; CAI Sees Higher Expo...
more
Top 5 News
Farmers Panic As MP Govt Set To End Wheat Procurement ...
Turmeric Prices Steady Amid Negligible Trade
Coriander: Weak Spot, Firm Futures
Spot Jeera Ends Higher Following Firm Futures
1671 Dal Mills To Import 4 Lk MT Urad By August 31
Top 5 Special Reports
Cotton Yarn Prices Set To Slide About 9%; Buying Oppor...
Indian COTTON Market intelligence and Price Outlook: F...
veg oil Complex Fundamental Analysis Report
Weekly: Pulses Drop On Listless Demand In Dals, Crop Ar...
USD/MYR
Copyright © CC Commodity Info Services LLP. All rights reserved.