CPO Futures End Higher On Stronger Exports, Higher Soybean Oil Prices

By Durratul Ain Ahmad Fuad

KUALA LUMPUR, June 4 (Bernama) -- The crude palm oil (CPO) futures contract on Bursa Malaysia Derivatives closed higher today, driven by stronger export performance and higher soybean oil prices on the Chicago Board of Trade (CBOT), according to palm oil trader David Ng.

Expectations of rising stock levels, however, continue to put pressure on prices, he said.

“We see prices supported at RM3,800 per tonne and resistance at RM4,000 per tonne,” he told Bernama. 

Meanwhile, Mumbai-based Sunvin Group commodity research head Anilkumar Bagani estimates Malaysia’s palm oil inventories for May to increase to 1.997 million tonnes on the back of a 2.7 per cent rise in production, a 20 per cent increase in imports, a 19.75 per cent increase in exports, and stable domestic consumption.

“Bloomberg polls also show end-May stocks at around 2.01 million tonnes. Data from the Southern Peninsular Palm Oil Millers' Association shows that palm oil production in South Peninsular mills for May 2025 rose by just 3.53 per cent compared to April.

“The market is now awaiting full May production estimates from the Malaysian Palm Oil Association and UOB Kay Hian,” he added.

At the close, the spot month June 2025 contract added RM8 to RM3,946 per tonne, while July 2025 and October 2025 rose RM18 each to RM3,965 per tonne and RM3,933 per tonne, respectively. 

August 2025 went up RM14 to RM3,948 per tonne, September 2025 was RM15 firmer at RM3,937 per tonne, and November 2025 put on RM16 to RM3,931 per tonne.

Trading volume declined to 59,422 lots from 103,618 yesterday, while open interest narrowed to 245,345 contracts from 336,143 previously.

The physical CPO price for June South increased by RM20 to RM4,000 per tonne.

-- BERNAMA