CPO Futures Expected To Trade Between RM4,100 And RM4,250 Per Tonne Next Week
By Nur Athirah Mohd Shaharuddin
KUALA LUMPUR, Oct 31 (Bernama) -- Crude palm oil (CPO) futures on Bursa Malaysia Derivatives are expected to be volatile next week, with prices projected to hover between RM4,100 and RM4,250 per tonne amid concerns over elevated stock levels.
Interband Group of Companies senior palm oil trader Jim Teh said Malaysia’s total palm oil stocks rose to 3.51 million tonnes in September, the highest level recorded this year.
“This, in a way, will sort of get the potential physical buyer to clear some of the stock inventory if the price reaches this level,” he told Bernama, adding that the physical demand is most likely to come from China, India, Pakistan and the Middle East.
Meanwhile, Iceberg X Sdn Bhd proprietary trader David Ng said the market is expected to trade cautiously with a slightly positive bias, supported by firm energy markets which could provide some support to CPO prices.
However, he said the upside is likely to be limited due to expectations of higher palm oil production in October, which could further increase stock levels and weigh on market sentiment.
On a Friday-to-Friday basis, the November 2026 contract fell RM138 to RM4,449 per tonne, the December 2026 contract decreased RM145 to RM4,588 per tonne, and the January 2027 contract slid RM137 to RM4,681 per tonne.
Meanwhile, the February 2027 contract was RM141 lower at RM4,761 per tonne, the March 2027 contract declined RM150 to RM4,826 per tonne, and the April 2027 contract retreated RM167 to RM4,863.
Weekly trading volume shrank to 363,163 lots from 538,346 lots in the preceding week, while open interest slipped to 337,166 contracts on Friday from 341,116 contracts a week earlier.
The physical CPO price for November South contracted RM90 to RM4,460 per tonne.
-- BERNAMA