Palm oil futures hold gains above MYR 4,950/tonne ahead of data
Malaysian palm oil futures hovered above MYR 4,950 per tonne, supported by firmer Dalian edible oils and higher crude. Gains were capped by weaker ringgit and ample supply, with July inventories at a five-month high.
Malaysian palm oil futures hovered above MYR 4,950 per tonne, extending recent gains as firmer edible oil prices in Dalian and higher crude oil prices supported sentiment amid concern over a prolonged supply disruption from the Middle East. Rising El Niño risks also added to the tone, with drier conditions threatening Southeast Asian production. 9% yoy in 2027. Demand prospects improved in India, where refiners imported record volumes of soyoil and the most palm oil in six months ahead of festivals.
Gains were capped by a weaker ringgit and a lack of direction from Chicago markets, which were closed for a public holiday. Ample supply remained a headwind, with Malaysian inventories at a five-month high in July. 9% from July. Traders are now awaiting monthly data from the Malaysian Palm Oil Board later this week.