AIRLINK 208.00 Increased By ▲ 7.71 (3.85%)
BOP 10.39 Decreased By ▼ -0.10 (-0.95%)
CNERGY 7.20 Decreased By ▼ -0.01 (-0.14%)
FCCL 35.09 Increased By ▲ 0.15 (0.43%)
FFL 17.16 Decreased By ▼ -0.26 (-1.49%)
FLYNG 25.20 Increased By ▲ 0.35 (1.41%)
HUBC 132.20 Increased By ▲ 4.39 (3.43%)
HUMNL 14.10 Increased By ▲ 0.29 (2.1%)
KEL 4.97 Decreased By ▼ -0.03 (-0.6%)
KOSM 6.85 Decreased By ▼ -0.18 (-2.56%)
MLCF 44.78 Increased By ▲ 0.16 (0.36%)
OGDC 221.29 Decreased By ▼ -0.86 (-0.39%)
PACE 7.19 Decreased By ▼ -0.23 (-3.1%)
PAEL 43.00 Increased By ▲ 0.20 (0.47%)
PIAHCLA 17.15 Decreased By ▼ -0.24 (-1.38%)
PIBTL 8.48 Decreased By ▼ -0.03 (-0.35%)
POWER 9.12 Decreased By ▼ -0.03 (-0.33%)
PPL 191.30 Decreased By ▼ -1.43 (-0.74%)
PRL 43.22 Increased By ▲ 1.72 (4.14%)
PTC 25.23 Increased By ▲ 0.79 (3.23%)
SEARL 104.00 Increased By ▲ 2.73 (2.7%)
SILK 1.03 Decreased By ▼ -0.02 (-1.9%)
SSGC 43.20 Decreased By ▼ -0.67 (-1.53%)
SYM 18.56 Decreased By ▼ -0.20 (-1.07%)
TELE 9.32 Decreased By ▼ -0.22 (-2.31%)
TPLP 13.25 Increased By ▲ 0.17 (1.3%)
TRG 70.20 Increased By ▲ 4.01 (6.06%)
WAVESAPP 10.50 Decreased By ▼ -0.03 (-0.28%)
WTL 1.82 Increased By ▲ 0.04 (2.25%)
YOUW 4.02 Decreased By ▼ -0.02 (-0.5%)
BR100 12,101 Increased By 61.3 (0.51%)
BR30 37,032 Increased By 343.1 (0.94%)
KSE100 114,950 Increased By 146 (0.13%)
KSE30 36,106 Increased By 3.5 (0.01%)

KUALA LUMPUR: Malaysian palm oil futures gained for a second session on Tuesday to hit a one-week closing high, lifted by expectations of tightening supply and as traders speculated about changes to Indonesia’s export policy.

The benchmark palm oil contract for June delivery on the Bursa Malaysia Derivatives Exchange closed up 58 ringgit, or 1.51%, to 3,895 ringgit ($882.02) a tonne.

An official at Indonesia’s economic coordinating ministry said on Monday the country plans to set its crude palm oil reference price at $932.69 per tonne for the April 16-30 period, up from $898.29 per tonne in the first half of the month.

The world’s largest palm oil producer in February had suspended some palm oil export permits to secure domestic supplies amid rising cooking oil prices ahead of Islamic festivals.

Traders said Indonesia is expected to update its so-called “domestic market obligation” (DMO) policy after the Eid festival in May.

In second-largest producer Malaysia, palm oil inventories at end-March slid 21.08% from the previous month to 1.67 million tonnes as exports surged, data by the Malaysian Palm Oil Board showed on Monday.

“We expect lower production in April 2023 due to fewer working days because of the Hari Raya (Eid) festival during the month,” UOB KayHian said in a note.

A strong recovery in production is unlikely as oil palm trees are showing sign of stress from too much of rainfall over the last three years, and there has been poor field upkeep, it said.

Meanwhile, exports from Malaysia during April 1-10 fell between 16% and 35.6% from the same week in March, cargo surveyors said.

Demand for crude palm oil may be soft given the strong supply of other vegoils globally, while it is also losing pricing competitiveness, UOB KayHian added.

Dalian’s most-active soyoil contract gained 0.9%, while its palm oil contract rose 3.1%. Soyoil prices on the Chicago Board of Trade were down 0.2 percent.

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

Comments

Comments are closed.