CPO futures to decline on profit-taking next week

KUALA LUMPUR: The crude palm oil (CPO) futures contract on Bursa Malaysia Derivatives is expected to decline next week on profit-taking activities.

Interband Group of Companies Senior Palm Oil Trader, Jim Teh said CPO prices have been on the uptrend this week despite the high stocks in the country.

"We believe CPO price would range between RM2,100 and RM2,150 per tonne next week, ” he told Bernama.

On a Friday-to-Friday basis, September 2019 increased RM67 to RM2,210 per tonne, October 2019 gained RM76 to RM2,244 per tonne, November 2019 rose RM70 to RM2,262 per tonne and December 2019 was RM64 higher at RM2,282 per tonne.

Weekly turnover expanded to 235,201 lots from 232,417 lots in the previous week, while open interest was lower at 220,683 contracts from 225,778 contracts previously.

On the physical market, the CPO market for September South rose RM60 to RM2,200 a tonne from RM2,140 a tonne previously. - Bernama