CPO futures close higher, tracking soybean oil gains on CBOT

CPO futures close higher, tracking soybean oil gains on CBOT
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KUALA LUMPUR (Aug 5): The crude palm oil (CPO) futures contract on Bursa Malaysia Derivatives ended higher on Friday, tracking gains on the Chicago Board of Trade (CBOT), a dealer said.

Palm oil trader David Ng said, however, that prices may face further downsides in view of high stockpile levels in the country, which may weigh pressure on CPO prices.

“Hence, we locate the support level at RM3,500 and resistance at RM4,200 a tonne,” he told Bernama.

At the close, the CPO futures contract for spot month August 2022 gained RM80 to RM4,020 a tonne, September 2022 appreciated RM69 to RM3,923 a tonne, October 2022 inched up RM57 to RM3,878 a tonne, and November 2022 rose RM53 to RM3,879 a tonne.

Meanwhile, December 2022 was RM53 higher at RM3,913 a tonne and January 2023 climbed by RM48 to RM3,966 a tonne.

Total volume shrank to 54,468 lots from 86,615 lots on Thursday, while open interest shed to 195,371 from 282,128 contracts previously.

The physical CPO price for August South increased by RM50 to RM4,050 a tonne.