KUALA LUMPUR: The crude palm oil (CPO) futures contract on Bursa Malaysia Derivatives is expected to trade higher this week, with prices ranging between RM4,300 and RM4,500 per tonne, according to Interband Group of Cos senior palm oil trader Jim Teh.
Teh explained that market sentiment may lean towards a bullish bias amid strong fundamentals.
“Nevertheless, market players will closely monitor developments today, when the Malaysian Palm Oil Board is scheduled to release figures on palm oil exports and stock levels for February 2025,” he told Bernama.
Teh also noted that the ongoing tariff war between the United States and China, Canada and Mexico, and possibly European Union countries, will, to some extent, influence the CPO futures market.
As a result, traders are likely to adopt a more cautious approach.
“In terms of physical demand, key buyers will continue to be China, India, Pakistan, the Middle Eastern nations and several European Union countries,” he said.
On a Friday-to-Friday basis, the spot-month March 2025 contract rose RM141 to RM4,870 per tonne, April 2025 gained RM79 to RM4,724 per tonne, and May 2025 increased RM71 to RM4,625 per tonne.
The June 2025 contract climbed RM51 to RM4,506 per tonne, July 2025 ticked up RM25 to RM4,389 per tonne, and August 2025 advanced RM7 to RM4,309 per tonne.
Weekly trading volume swelled to 471,778 lots last Friday from 348,129 lots in the previous week, while open interest edged up to 242,153 contracts from 241,330.
The physical CPO price for March South added RM100 to RM4,900 per tonne.
