InfoSAWIT, KUALA LUMPUR – Crude palm oil (CPO) price at Bursa Malaysia Derivative Exchange increased more than 2 percent on Tuesday (5/4/2022), for the increasing crude oil price at the exchange and the survey showed that CPO stocks in Malaysia was available by the late of March 2022.
CPO reference contract at FCPOc3 for June delivery at Bursa Malaysia Derivatives Exchange escalated RM 147/ton or about 2,58% to be RM 5.839 (US$1.384,96) per ton in the early trade, it prolonged the increasing price in the second session.
As quoted from Reuters, the increasing price happened for the increasing crude oil at the exchange for the further potential sanction because of the war crime assumption by Russian troops in Ukraine that has something to do with the supply disruption.
Crude oil price at the exchange got higher and made CPO as the better option for biodiesel material.
Reuters’ survey showed on Monday (4/4/2022), Malaysia’s March 2022 production increased 16,4% compared to the previous month, and was the highest in three months that reached 1,32 million tons,
But the increasing exports and smaller imports may balance the production, maintain the stocks by the late of March tightly at 1,53 million tons – increased 0,5% from the previous month, according the survey.
Reuters’ technical analyst, Wang Tao predicted, CPO would be at RM 5.855 - 5.966 ringgit per ton. (T2)