CPO futures close lower for sixth consecutive session as weak market sentiment persists
08/09/2022 (The Edge Markets), Petaling Jaya - The crude palm oil (CPO) futures contract on Bursa Malaysia Derivatives (BMD) ended lower for the sixth consecutive session as overnight weakness on the Chicago bean oils market continued to weigh on sentiment for CPO.
Palm oil trader David Ng said concerns over rising output and weak demand for palm oil also contributed to the decline.
"We locate support level at RM3,500 per tonne and resistance at RM4,200 per tonne," he told Bernama.
At the close, the CPO futures contract for the spot month September 2022 fell by RM105 to RM3,600 per tonne, October 2022 dropped by RM109 to RM3,671, November 2022 eased by RM107 to RM3,690, and December 2022 slipped RM100 to RM3,716 per tonne.
Meanwhile, January 2023 declined RM100 to RM3,753 per tonne and February 2023 went down RM79 to RM3,814 per tonne.
Total volume increased to 98,837 lots from 49,687 lots on Tuesday, while open interest rose to 293,636 contracts from 241,870 contracts previously.
The physical CPO price for September South was down RM100 to RM3,750 per tonne.