Palm | Kelapa Sawit

CPO futures ended higher amid weakening of ringgit against dollar, coupled with slight gain in eCBOT and Dalian soy oil. Benchmark Jan09 initially open RM19 lower at 1580, and immediately hit the day low at 1560, after overnight NYMEX crude oil which settled $4 lower, while CBOT soy complex posted small gain. CPO prices then bounce back to cover yesterday’s left over gap and hit the intra day high of 1640 in the afternoon session, following the gain in eCBOT and Dalian soy oil prices during Asian time zone had provided some buying support, and help lifted the market sentiment, despite both Reuters poll and Malaysia Commodities Minister stated bearish information of weak export, high production and high stock level data. Benchmark Jan09 traded in a range of 1610-1632 for the rest of the afternoon session, and settled at 1609 after some profit taking activities appear.