MARKET DEVELOPMENT
Profit-taking activities drag CPO futures lower
Profit-taking activities drag CPO futures lower
26.05.2022 (www.theedgemarkets.com) - KUALA LUMPUR (May 25): The crude palm oil (CPO) futures contract on Bursa Malaysia Derivatives ended lower on Wednesday, retreating from two days of gains, on profit-taking.
Palm oil trader David Ng said the weaker prices also follow weakness in the Chicago Board of Trade.
“We locate support at RM6,200 a tonne and resistance at RM6,700 a tonne,” he told Bernama.
According to cargo surveyor Intertek Testing Services, exports of Malaysian palm oil products from May 1-5 rose 24.8 per cent to 1,141,764 tonnes from 914,661 tonnes shipped during April 1-25.
At the close, the CPO futures contract for spot month June 2022 decreased RM94 to RM6,960 a tonne, July 2022 was down RM65 to RM6,697 a tonne, August 2022 fell RM99 to RM6,383 a tonne and September 2022 slid RM110 to RM6,201 a tonne.
October 2022 was RM93 weaker at RM6,111 a tonne while November 2022 shed RM82 to RM6,069 a tonne.
Total volume slipped to 64,780 lots from Tuesday’s close of 73,962 lots while open interest narrowed to 264,260 contracts from 276,427 contracts previously.
The physical CPO price for June South was lower by RM200 at RM7,050 a tonne. https://www.theedgemarkets.com/article/profittaking-activities-drag-cpo-futures-lower