KUALA LUMPUR: The crude palm oil (CPO) futures contract on Bursa Malaysia Derivatives is likely to trade cautiously on expectation of the full month export report as well as the Palm and Lauric Oils Price Outlook Conference & Exhibition (POC) 2020, next week.
Singapore-based Palm Oil Analytics’ owner and co-founder Dr Sathia Varqa said the market would focus on comments from the virtual conference on the oil and fats industry, to be held on Oct 27- 28.
"Furthermore, news of a fresh shutdown in the state of Sabah also helped the market to pare losses. Trading will be cautiously higher,” he told Bernama.
Meanwhile, another dealer said the Malaysian Palm Oil Association (MPOA) is in the move to appeal for plantations and mills to be allowed to operate on extended hours in Sabah as the partial lockdown due to the surging number of COVID-19 cases would hamper production.
On a Friday-to-Friday basis, the CPO futures contract for November 2020 was up RM79 to RM3,064 per tonne, December 2020 widened RM107 to RM3,028 per tonne, January 2021 climbed RM72 to RM2,942 per tonne, and February 2021 was RM50 higher at RM2,879 per tonne.
Weekly volume surged to 320,776 lots from 303,773 lots in the previous week, while open interest increased to 261,154 contracts from 254,105 contracts a week earlier.
On the physical market, November South stood at RM3,080 per tonne. - Bernama