JAKARTA: Malaysian palm oil futures pulled back from a record high to end lower on Monday, pressured by rival oils easing and expectations of stockpiles remaining slightly higher at the end of January. The benchmark palm oil contract for April delivery on the Bursa Malaysia Derivatives Exchange closed 1.39% lower at 5,539 ringgit ($1,324.01) per tonne.
Palm oil futures hit an all-time high of 5,749 ringgit a tonne earlier on Monday but reversed course as other edible oils started giving up gains.
Soyoil and palm oil contracts on the Dalian bourse surged early on Monday but settled slightly lower as they resumed trading after a week-long Lunar New Year holiday. Soyaoil prices on the Chicago Board of Trade were down 0.06%.
Malaysia’s palm oil stockpile at the end of January likely stayed flat, as both production and exports plunged to an 11-month low, a Reuters survey showed on Monday.
Markets anticipated stockpiles to drop, a Kuala Lumpur-based trader said.
Indonesia, the world’s top palm oil shipper, has issued export permits for a combined 310,000 tonnes of crude palm oil and 18,178 tonnes of olein for six companies.
Palm oil is affected by price movements in related oils, as they compete for a share in the global vegetable oils market.