​cpo Futures Close Higher On Lower Output Concern

By Rosemarie Khoo Mohd Sani

KUALA LUMPUR, Feb 29 (Bernama) -- The crude palm oil (CPO) futures contract on Bursa Malaysia Derivatives (BMD) closed higher today as concerns over lower output and stronger soybean oil prices boosted buying sentiment in the palm oil market.

Palm oil trader David Ng said prices remained well supported at above RM3,850 per tonne and resistance at RM4,000 per tonne.

Mumbai-based Sunvin Group commodity research head Anilkumar Bagani said BMD CPO futures were seen trading higher due to the demand surge in palm oil ahead of Muslim’s holy month of Ramadan starting March 11, 2024.

"Looking ahead, the market will be focusing on the Palm Oil Conference (POC) 2024 in Malaysia in the first week of March," he told Bernama. 

At the close, the spot month March 2024 contract was RM42 firmer at RM4,025 ​a tonne, April 2024 increased RM62 to RM4,018 a tonne, May 2024 strengthened RM63 to RM3,970 a tonne, and June 2024 added RM61 to RM3,904 a tonne. 

July 2024 advanced RM53 to RM3,835 a tonne, and August 2024 rose RM48 to RM3,781 a tonne. 

Total volume was higher at 64,468 lots from 55,216 lots on Wednesday, while open interest rose to 253,387 contracts from 243,724 contracts previously. 

The physical CPO price for March South rose RM40 to RM4,070 per tonne. 

-- BERNAMA