PETALING JAYA: The sharp rise in palm oil stocks to 1.87 million tonnes in April, the highest in six months, may put a cap on crude palm oil (CPO) prices moving forward, say analysts.
According to Hong Leong Investment Bank (HLIB) Research, the uptrend in palm oil stock level would likely persist in the near term, driven by seasonally higher cropping pattern, subdued festive-driven demand, and weak CPO prices – which imply lower discretionary biodiesel blending activities.
