AVN 70.91 Increased By ▲ 4.61 (6.95%)
BOP 9.58 Decreased By ▼ -0.21 (-2.15%)
CHCC 129.22 Decreased By ▼ -0.68 (-0.52%)
DCL 11.31 Decreased By ▼ -0.15 (-1.31%)
DGKC 111.20 Decreased By ▼ -0.10 (-0.09%)
EFERT 59.90 Decreased By ▼ -0.84 (-1.38%)
EPCL 44.55 Increased By ▲ 1.05 (2.41%)
FCCL 20.98 Decreased By ▼ -0.42 (-1.96%)
FFL 17.91 Decreased By ▼ -1.49 (-7.68%)
HASCOL 20.98 Decreased By ▼ -0.90 (-4.11%)
HBL 131.73 Decreased By ▼ -1.72 (-1.29%)
HUBC 82.97 Decreased By ▼ -1.28 (-1.52%)
HUMNL 8.25 Decreased By ▼ -0.18 (-2.14%)
JSCL 27.10 Decreased By ▼ -0.45 (-1.63%)
KAPCO 26.90 Decreased By ▼ -0.60 (-2.18%)
KEL 4.14 Decreased By ▼ -0.19 (-4.39%)
LOTCHEM 13.06 Decreased By ▼ -0.15 (-1.14%)
MLCF 39.01 Decreased By ▼ -0.09 (-0.23%)
OGDC 109.50 Decreased By ▼ -1.85 (-1.66%)
PAEL 38.10 Decreased By ▼ -0.16 (-0.42%)
PIBTL 13.35 Decreased By ▼ -0.53 (-3.82%)
PIOC 95.62 Decreased By ▼ -0.54 (-0.56%)
POWER 9.15 Decreased By ▼ -0.24 (-2.56%)
PPL 96.75 Decreased By ▼ -1.60 (-1.63%)
PSO 201.48 Decreased By ▼ -3.42 (-1.67%)
SNGP 64.69 Decreased By ▼ -0.01 (-0.02%)
STPL 13.20 Decreased By ▼ -0.34 (-2.51%)
TRG 56.50 Decreased By ▼ -0.06 (-0.11%)
UNITY 17.74 Decreased By ▼ -1.24 (-6.53%)
WTL 1.23 Decreased By ▼ -0.03 (-2.38%)
BR100 4,355 Decreased By ▼ -47.08 (-1.07%)
BR30 22,192 Decreased By ▼ -254.98 (-1.14%)
KSE100 41,767 Decreased By ▼ -407.36 (-0.97%)
KSE30 17,710 Decreased By ▼ -179.59 (-1%)
COVID-19 TOTAL DAILY
CASES 288,047 747
DEATHS 6,162 9
Markets

Palm oil falls on profit-taking, weaker crude

The benchmark palm oil contract for August delivery on the Bursa Malaysia Derivatives Exchange slipped 32 ringgit,
28 May 2020
  • The benchmark palm oil contract for August delivery on the Bursa Malaysia Derivatives Exchange slipped 32 ringgit, or 1.4pc, to 2,249 ringgit ($516.42) by the midday break.
  • Palm climbed 5.26pc in the previous session to its highest close since April 10, boosted by estimates of a lower output this month in some parts of Malaysia.

KUALA LUMPUR: Malaysian palm oil futures slipped on Thursday as investors booked profits from sharp gains in the previous session and as US crude oil prices fell on rising inventory levels.

The benchmark palm oil contract for August delivery on the Bursa Malaysia Derivatives Exchange slipped 32 ringgit, or 1.4pc, to 2,249 ringgit ($516.42) by the midday break.

Palm climbed 5.26pc in the previous session to its highest close since April 10, boosted by estimates of a lower output this month in some parts of Malaysia.

"Production in East Malaysia, however, is gaining traction and end-stocks for May and June would be a tad above 2.1 million tonnes if demand remains at the current pace," said Paramalingam Supramaniam, director at Selangor-based brokerage Pelindung Bestari Sdn Bhd.

Malaysia's exports for May 1-25 rose between 5.1pc and 9.8pc from the month before, cargo surveyors said.

Oil prices slid for a second straight session as US industry data showed a steep and surprising build-up in crude stockpiles, dampening hopes of a smooth demand recovery as the world begins to ease its way out of coronavirus lockdowns.

Weaker crude makes palm a less attractive option for biodiesel feedstock.

Dalian's most-active soyoil contract rose 0.51pc, while its palm oil contract jumped 1.75pc. Soyoil prices on the Chicago Board of Trade were down 0.83pc.

Palm oil is affected by price movements in related oils as they compete for a share in the global vegetable oils market.

Palm oil may rise to 2,342 ringgit per tonne, as it has cleared a resistance at 2,265 ringgit, Reuters technical analyst Wang Tao said.