High supply concern to weigh on CPO futures next week

KUALA LUMPUR: The crude palm oil (CPO) futures contract on Bursa Malaysia Derivatives is expected to experience technical correction next week, as concerns over production and inventory will weigh on investors’ appetite.

Interband Group of Companies senior palm oil trader Jim Teh said the current high supply in palm oil producing countries might continue to hurt CPO prices next week, which will likely range between RM3,400 and RM3,600 a tonne.