Palm | Kelapa Sawit

Palm oil futures tumbled sharply lower to break below 2300 level. Initially, trading were rather nervous with weaker tone while prices approaching the underline support level of 2350, it hovered between 2355-2370 level through out most of the sessions in rather cautious and thin volume. However, the race looks like over when 2350 support level were broken below. Technical selling and stop loss selling were evident as Benchmark Sep09 immediately slid further and easily broke below the 2300 psychological support level until it hit intra day low of 2284 before it finally settled RM76 lower at 2299. Total daliy volume increased to 18,192 contracts changed hands. The weak external factors further enhanced the selling sentiment in the local CPO market. eCBOT soy oil had edged lower in late Asian time after its earlier mix trading, while Dalian palm also ended with losses.