Malaysian palm oil price rebounds on stronger soyoil, weaker output forecasts

Higher biodiesel usage is an important factor behind improving CPO prices in 2016, as CPO is the main raw material for biodiesel.

KUALA LUMPUR: Malaysian palm oil futures rebounded on Tuesday from a three-day low to chart their strongest daily gain in a week, tracking stronger soyoil prices and supported by forecasts of weaker output.

Benchmark palm oil futures for June delivery on the Bursa Malaysia Derivatives Exchange rose 1 percent to 2,809 ringgit ($635) a tonne at the end of the trading day, the biggest daily gain since March 15.