Palm | Kelapa Sawit

Palm oil futures recovered from yesterday’s losses to end broadly higher on bullish external markets. Benchmark Nov09 immediately went up to morning high of 2163 after opened RM11 higher at 2141 as traders began to covered their short position after the previous 5 day’s of straight sell-down. Prices then hovered in a tight range between 2160-2150 until the morning session closed at 2151. The strong rally in Asian time NYMEX crude oil & eCBOT soy oil in the second session saw Benchmark Nov09 followed suit and continued to surge further until it finally settled RM80 higher at the intra day high of 2210. Spill over from bullish regional equity markets also boosted the buying sentiment in local BMD. Meanwhile, Reuters poll forecasted that Malaysian palm oil stocks in Aug may climbed 7.3% to a 6-month high as exports returned to normal after sharply rising on festival-related demand a month earlier.