Crude palm oil (CPO) futures on Bursa Malaysia Derivatives are likely to see steady trading next week, dealers said.
They said expectation of rising demand from China and India would spur buying interest in CPO futures.
“Firmer soyoil prices will also push CPO prices higher as both commodities compete in the same market,” a dealer said.
CPO prices were expected to trade above the RM2,700 level next week, he added.
For the week just ended, CPO futures traded mostly higher in line with firmer soyoil prices.
On a weekly basis, October 2010 rose RM40 to RM2,742 per tonne,
November 2010 increased RM54 to RM2,699 per tonne, December 2010
improved RM74 to RM2,701 and January 2011 jumped RM84 to RM2,704 a
tonne.
The weekly turnover, however, declined to 62,672 lots from
64,680 lots while open interest eased to 65,708 contracts from 68,199
contracts.
On the physical market, October South stood at RM2,740 a tonne. — Bernama
Source : Business Times
