Crude palm oil (CPO) futures prices on the Malaysia Derivatives Exchange
will be traded rangebound next week with stock figures due to be
released. The data will dictate price direction, dealers said.
They said that the next support level would be at RM2,500 per tonne
and immediate resistance at RM2,550 per tonne.
“The prices will be influenced by the March export data to be
released by Malaysian Palm Oil Board and cargo surveyors,” a dealer
said.
Cargo surveyor Intertek Testing Services will release palm oil
export data over the weekend while Societe Generale de Surveillance will
announce the data on Monday.
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CPO prices started the week on a weaker note due to the strengthening of
ringgit and firmer crude oil price, but it started to pick up on strong
demand.
A senior palm oil trader with Interband Group Sdn Bhd, Jim Teh said
CPO prices were expected to undergo a correction to about RM2,580 per
tonne.
“Slow export is expected to slow down the prices,” he said.
On a Friday-to-Friday basis, April 2010 contract fell RM25 to
RM2,580 per tonne, May 2010 declined RM18 to RM2,553, June 2010 added
RM35 to RM2,594 and July 2010 decreased RM16 to RM2,530.
Total turnover rose to 82,169 lots from 79,674 lots while open
interest fell to 77,683 contracts from 83,116 contracts.
On the physical market, April South stood at RM2,575 per tonne. —
Bernama
Source : Business
Times
