KUALA LUMPUR: Malaysian palm oil futures rose on Friday and logged a weekly gain, buoyed by estimates of higher exports in the world’s second-biggest producer.
The benchmark palm oil contract for August delivery on the Bursa Malaysia Derivatives Exchange closed 86 ringgit, or 2.15%, higher at 4,079 ringgit ($867.13) per metric ton. The contract gained 5% for the week.
Expectations of a 20% increase in exports of Malaysian palm oil products in May have boosted prices, a Kuala Lumpur-based trader said. “The recent surge in sunflower oil prices has also turned buyers to purchase palm as it is comparatively cheaper,” the trader said.
Cargo surveyor Intertek Testing Services said Malaysian palm oil exports for May rose 22.1% from the month before, while independent inspection company AmSpec Agri Malaysia estimated a 22.8% increase. Another cargo surveyor, Societe Generale de Surveillance, estimated the exports at 1,161,370 metric tons, from 1,045,679 tons a month earlier, LSEG data showed on Friday.
Dalian’s most-active soyoil contract rose 0.32%, while its palm oil contract added 1.28%. Soyoil prices on the Chicago Board of Trade were up 0.87%.
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