Crude palm oil (CPO) futures on Bursa Malaysia Derivatives are expected
to be firmer next week with the market anticipating the release of
positive export figures, dealers said.
The prices will move in line with the prospect of favourable export
figures to be released by the Malaysian Palm Oil Board on Feb 10, they
said.
“CPO prices are expected to be buoyant next week against a backdrop
of lower output of the commodity amid a production downcycle,” said one
of the dealers.
Market sentiment will also be supported by higher demand ahead of
the Chinese New Year on an anticipated slowdown in production, he said.
The CPO futures market was closed on Monday due to the Federal
Territories Day celebrations.
On a Friday-to-Friday basis, February 2010 edged up RM75 to RM2,525
per tonne while March 2010 rose RM85 to RM2,530 per tonne.
April 2010 added RM76 to RM2,521 per tonne and May 2010 gained RM78
to RM2,519 per tonne.
The week”s turnover dropped to 64,973 lots from 85,667 lots last
Friday while open interest declined to 74,744 contracts from 75,930
contracts previously.
On the physical market, February South stood at RM2,530 per tonne.
— Bernama
Source : Business Times
