InfoSAWIT, KUALA LUMPUR – Crude palm oil (CPO) price at Bursa Malaysia Derivative Exchange got cheaper for the fifth day in a row on Thursday because of the continuous recession prediction which hit many countries.
CPO reference contract at FCPOc3 for September 2022 delivery at Bursa Malaysia Derivatives Exchange got cheaper RM 64 per ton or about 1,58% to be RM 3.991 (US$ 902,12) per ton in the early session.
As quoted from Reuters, CPO price decreased 3,9% in one night only because of CPO abundant production prediction from Indonesia
The active soyoil contract at Dalian DBYcv1 did too 0,7% while CPO contract at DCPcv1 did decrease 2,4%. Soyoil price at Chicago Board of Trade BOcv1 increased 1,5%. CPO had something to do with other vegetable oil price because they compete to get into vegetable oil markets globally.
Crude oil at Brent extended the decreasing price for the third session on Thursday (7/7/2022) which reached less than US$ 100 per barrel because of the potential recession in the globe and triggered worry about oil demands. The cheap crude oil made CPO less interesting to be as biodiesel material.
Reuters’ technical analyst, Wang Tao noted, CPO could be at RM 3.782 per ton. (T2)