Malaysia’s end-May palm stocks fall to 10-month low

The benchmark palm oil contract for October delivery on the Bursa Malaysia Derivatives Exchange was up 0.4% at 2,067 ringgit ($501.94) per tonne at the close of trade, its fifth consecutive session of gains. It earlier rose 0.7% to 2,073 ringgit, its strongest level since June 7. Palm is also up 4.8% for the week in a second week of gains.

KUALA LUMPUR: Malaysian palm oil stockpiles fell to a 10-month low at end-May, according to official data on Wednesday, extending monthly falls since March, as export gains outpaced an unexpected rise in production.

Benchmark palm oil prices have eased about 5% since the start of the year, weighed by concerns about high stocks and flat demand. Falling stockpiles could support palm prices, which were last up 0.1% at RM2,009 a tonne at the midday break yesterday.