Crude palm oil (CPO) futures on Bursa Malaysia Derivatives are likely to see continued bearish sentiment.
Jim Teh, Interband Group of Companies’ senior trader, said
technical correction could drive the market with CPO prices hovering
between RM2,800 and RM3,000 per tonne.
“Buyers will not actively enter the market next week due to the current high prices,” he told Bernama.
Another dealer said Monday’s data from cargo surveyors Intertek
Testing Services and Societe Generale de Surveillance would affect the
market.
He said an upside potential for CPO prices was impossible due to the high stockpile of the commodity in Malaysia and Indonesia.
On the futures market this week, July 2011 fell RM94 to RM3,131 per
tonne, August 2011 dropped RM89 to RM3,116, September 2011 eased RM81
to RM3,117 and October 2011 lost RM85 to RM3,109.
Turnover declined to 117,009 lots from 126,512 lots last week while
open interest rose to 117,009 contracts from 114,295 contracts
previously.
On the physical market, June South ended the week at RM3,150 per tonne. — Bernama
