CPO Futures End Lower As High Stock Levels Weigh On Market

By K. Naveen Prabu

KUALA LUMPUR, July 10 (Bernama) -- The crude palm oil (CPO) futures contract on Bursa Malaysia Derivatives closed lower today, as concerns over rising stocks weighed on sentiment following the release of the Malaysian Palm Oil Board’s (MPOB) latest data.

Palm oil trader David Ng said the market reacted to the MPOB’s June report, which showed total palm oil inventories rising to 2.03 million tonnes from 1.99 million tonnes in May, despite a decline in production and exports during the month.

“Traders are cautious after the MPOB reported a month-on-month increase in stock levels, which suggests there is still ample supply in the market and this is putting pressure on prices,” he told Bernama.

Ng noted, however, that stronger export performance seen in recent weeks has provided some support to the market, limiting further downside.

“We see support at RM4,100 per tonne and resistance at RM4,250,” he said. 

At the close, the spot-month July contract fell RM17 to RM4,039 per tonne, August 2025 eased RM17 to RM4,118 per tonne, and September 2025 slipped RM11 to RM4,146 per tonne.

October 2025 declined RM11 to RM4,147 per tonne, November 2025 shed RM8 to RM4,142 per tonne, and December 2025 edged down RM4 to RM4,147 per tonne.

Trading volume went up to 100,487 lots from 91,409 lots on Wednesday, while open interest decreased to 226,285 contracts from 230,203 contracts previously.

The physical CPO price for July South increased by RM20 to RM4,150 per tonne.

-- BERNAMA