Affin Hwang maintains ‘neutral’ call on plantation sector

The benchmark palm oil contract for August delivery on the Bursa Malaysia Derivatives Exchange was up 0.7% at 2,007 ringgit ($482.34) per tonne on Tuesday evening, charting its first gain in three days. It had risen as much as 1.3% to an intraday high of 2,019 ringgit

KUALA LUMPUR: Affin Hwang Capital Research has maintained its “neutral” rating on the plantation sector following a decline in palm oil inventory to its lowest in 11 months as production slowed.

The latest release of June data by the Malaysian Palm Oil Board showed palm oil stockpiles slipped 1% to 2.42 million tonnes for a fourth straight month of declining inventory.