MARKET DEVELOPMENT
CPO futures end higher as Indonesia expands export curbs
CPO futures end higher as Indonesia expands export curbs
09.02.2022 (www.theedgemarkets.com) - KUALA LUMPUR (Feb 9): The crude palm oil (CPO) futures contract on Bursa Malaysia Derivatives snapped two straight days of losses to close higher on Wednesday, lifted by a news report that Indonesia, the biggest supplier, is expanding its palm oil export curbs to include all palm oil products.
Palm oil trader David Ng said the news would lift sentiment and push demand for Malaysian CPO.
“We locate support at RM5,450 a tonne and resistance at RM5,800 a tonne,” he told Bernama.
Meanwhile, Singapore-based Palm Oil Analytics owner and co-founder Dr Sathia Varqa said the CPO futures made a strong comeback, derailing correction for now, after the Indonesian government expanded the list of export control items covering all palm products.
At the close, the CPO futures contract for February soared RM199 to RM5,765 a tonne, March 2022 increased RM168 to RM5,704 a tonne, April 2022 gained RM145 to RM5,594 a tonne, May 2022 climbed RM117 to RM5,458 a tonne, June 2022 was RM99 firmer at RM5,315 a tonne, and July 2022 improved RM80 to RM5,159 a tonne.
Total volume surged to 115,730 lots from Tuesday’s close of 102,995 lots, while open interest expanded to 318,979 contracts from 302,239 contracts previously.
The physical CPO price for February rose RM100 to RM5,820 a tonne.
https://www.theedgemarkets.com/article/cpo-futures-end-higher-indonesia-expands-export-curbs