Palm | Kelapa Sawit

Palm oil futures gave back all its earlier gains to end lower after a tight range trading. The emerged of long liquidation activities in late trading sent Benchmark May09 to tumble to intra day low at 1832. It initially opened RM20 higher at 1880, following the release of better than expected 1-20 export data by private cargo surveyors. It was holding steadily and hovering between the narrow range of 1870-1885 through out most of the trading session. However lack of follow through buying coupled with long liquidation ahead of weekend saw Benchmark may09 prices tumbled to 1832 and settled RM25 lower at 1835. Weather forecast that there will be showers in Argentina this weekend prompted some speculative selling activities. Bearish sentiment in regional equity market has some influence on BMD as well.