Malaysian palm oil seen at 2,200-2,400 ringgit per tonne

Malaysian crude palm oil is expected to trade between 2,200-2,400 ringgit a tonne over the next month, leading industry analyst Dorab Mistry said recently. The benchmark third-month August contract finished down 83 ringgit, or 3.4 percent, at 2,350 ringgit ($677) a tonne.
The most active month on Bursa Malaysia Derivatives Exchange has lost 15 percent since it hit record highs of 2,764 ringgit last week on booming demand and a squeeze in supplies. "The market has done enough for the time being. It did an excellent job of killing the demand but now we are in danger of an overkill," Mistry told Reuters in an interview. "A fair value based on current fundamentals for the third-month position in my opinion should lie between 2,200 and 2,400."