KUALA LUMPUR: Malaysian palm oil futures settled more than 1percent higher on Thursday, recouping some of the previous session’s losses, supported by bargain buying amid a rebound in crude oil prices.
Gains were, however, capped due to pressure from weaker Dalian rival oils and confusion over Indonesia’s biodiesel blending timeline.
The benchmark palm oil contract for June delivery on the Bursa Malaysia Derivatives Exchange climbed 56 ringgit, or 1.22percent, to 4,642 ringgit (USD1,166.33) a metric ton at the close, after a more than 3percent drop in the previous session.
Confusion surrounding Indonesia’s B50 timeline - whether it applies to only subsidised or for both subsidised and non-subsidised entities - weighed on the market, said Anilkumar Bagani, commodity research head at Sunvin Group, a Mumbai-based brokerage.
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