07/06/2022 (The Edge Markets), Kuala Lumpur - The crude palm oil (CPO) futures contract on Bursa Malaysia Derivatives ended higher on Tuesday (June 7), in line with expectations of a lower stock level in the country ahead of the key crop report due to be released later this week, a dealer said.

Palm oil trader David Ng said higher crude oil prices are also seen as supporting sentiment in the near term.

“We locate support at RM6,200 a tonne and resistance at RM6,700 a tonne,” he told Bernama.

At the close, CPO futures contract for spot month June 2022 gained RM55 to RM6,760 a tonne, July 2022 increased by RM68 to RM6,728 a tonne, August 2022 rose RM67 to RM6,505 a tonne, September 2022 was higher by RM72 to RM6,324 a tonne, October 2022 climbed RM71 to RM6,217 a tonne and November 2022 was up by RM50 to RM6,169 a tonne.

Total volume shrank to 47,924 lots from Friday (June 3)’s close of 55,595 lots, while open interest trimmed to 252,541 contracts from 259,763 contracts previously.

The physical CPO price for June South widened by RM50 to RM6,850 a tonne.

The market was closed on Monday (June 6), in conjunction with the Yang di-Pertuan Agong’s official birthday.

https://www.theedgemarkets.com/article/cpo-futures-end-higher-june-7-2022-lower-stock-expectations