18/07/2022 (The Edge Markets), Kuala Lumpur - Crude palm oil (CPO) futures contracts on Bursa Malaysia Derivatives closed lower on Monday (July 18) despite stronger crude oil prices, said a trader.

Palm oil trader David Ng expected bargain-hunting activities to emerge in the CPO market, following a steep drop in prices.

“We locate CPO price support at RM3,700 and resistance at RM4,200 a tonne,” he said.

At the close, CPO futures contracts for spot month August 2022 dropped RM100 to RM3,532.00 per tonne, September 2022 decreased RM17 to RM3,568.00 per tonne, October 2022 eased RM10 to RM3,620.00 per tonne, and November 2022 increased RM2 to RM3,680 per tonne.

Total volume rose to 80,074 lots on Monday from 13,336 lots on Friday (July 15), while open interest increased to 279,568 contracts from 222,879 contracts previously.

The physical CPO price for July South rose RM200 to RM4,000 a tonne, from Friday's RM3,800 a tonne.

Read more at:

https://www.theedgemarkets.com/article/cpo-futures-close-lower-july-18