MARKET DEVELOPMENT
Palm Oil Price Will Rebound in July, Says Tengku Razaleigh
Palm Oil Price Will Rebound in July, Says Tengku Razaleigh
31/03/2014 (Bernama) - Former Finance Minister Tan Sri Tengku Razaleigh Hamzah forecasts palm oil prices to rebound in July when the ringgit stabilises.
Palm oil prices have plunged from RM4,400 a metric tonne in the middle of last year to RM2,400 a metric tonne currently, after foreign investors sold their ringgit to invest in the US dollar, benefiting the US economy, he said.
“However, I expect in July when the US dollar is at a high level, investors will return to Malaysia to buy the ringgit,” he told reporters after the closing of the annual general meeting of the Parent Teachers Association of SK Tengku Muhammad Fakhry Petra here today.
Tengku Razaleigh, the Gua Musang MP, said rubber is also facing price pressure with importing countries cutting their imports of the commodity.
Workers in the rubber and oil palm sectors who have been affected should understand that their plight is due to the reduction in commodity imports by European countries, the United States and China, which are focused on buying the US dollar, he said.
Palm oil prices have plunged from RM4,400 a metric tonne in the middle of last year to RM2,400 a metric tonne currently, after foreign investors sold their ringgit to invest in the US dollar, benefiting the US economy, he said.
“However, I expect in July when the US dollar is at a high level, investors will return to Malaysia to buy the ringgit,” he told reporters after the closing of the annual general meeting of the Parent Teachers Association of SK Tengku Muhammad Fakhry Petra here today.
Tengku Razaleigh, the Gua Musang MP, said rubber is also facing price pressure with importing countries cutting their imports of the commodity.
Workers in the rubber and oil palm sectors who have been affected should understand that their plight is due to the reduction in commodity imports by European countries, the United States and China, which are focused on buying the US dollar, he said.