Cogencis (01/04/2020) - GUWAHATI – The front-month April delivery crude palm oil contract on the Multi Commodity Exchange of India hit an over one-week low of 641.4 rupees per 10 kg today, tracking weak cues from parent contracts on the Bursa Malaysia Derivatives, analysts said. 

Futures contracts of crude palm oil on the BMD settled sharply lower today due to weak overseas demand as major buyers are under complete lockdown, said Vinod T.P., an analyst at Geojit Financial Services. The most active June delivery crude palm oil contract on the BMD closed 2.7% lower at 2,338 ringgits (around 40,653 rupees) a tn.

Weak demand for biodiesel in several countries due to travel restrictions amid the coronavirus pandemic weighed on prices of crude palm oil on the BMD, said analysts. Palm oil is a key ingredient used in biofuel manufacturing. 

Crude palm oil contracts on the Malaysian bourse are seen trading at 2,240-2,490 ringgits a tn over the next one week, said Vinod.

Mustard futures fell on National Commodity and Derivatives Exchange due to weak demand as most mills are not functioning at their full capacity in the wake of the nationwide lockdown, said Ajay Kedia, the head of Kedia Commodities. Mustard contracts also fell today as investors booked profits after the recent gains, Kedia said.

For the next one week, mustard contracts on the NCDEX are seen trading in a range of 3,940-4,220 rupees, with a downside bias, he said.

Futures contracts of soybean and refined soyoil on the NCDEX also fell today as investors booked profits after the recent rise in prices, analysts said. 

Recently, soybean contracts on the bourse rose as supply in domestic markets fell following the imposition of a nationwide lockdown to contain the coronavirus pandemic. 

Refined soyoil contracts on the bourse fell in the previous sessions due to rising inventories as demand took a hit, they said.

The following table details prices of edible oils and oilseeds at 1706 IST, in rupees, and the difference compared with the previous session: 

 End

 US$1 = 75.66 rupees

IST, or Indian Standard Time, is five-and-a-half hours ahead of GMT