Crude palm oil (CPO) futures prices on Bursa Malaysia Derivatives are
likely to be steadier next week in line with the uptrend in commodity
prices, dealers said.
They said CPO prices would be strongly influenced by the movement
of soyoil and global crude oil prices.
Soyoil and palm oil compete for the same export destinations and
their prices usually move in tandem.
The release of palm oil export data by the Malaysian Palm Oil Board
and two other cargo surveyors next week, Intertek Testing Services and
Societe Generale de Surveillance, would help boost the price, a dealer
said.
The price is expected to range between RM2,450 per tonne and RM2,550
per tonne next week, the dealer said, adding that any losses could be
due to the strengthening of the ringgit.
Throughout the week, the price remained attractive, amid a
volatile market.
On Friday-to-Thursday basis, June 2010 rose RM41 to close at
RM2,560 per tonne, July 2010 went up RM15 to RM2,515 per tonne, August
2010 increased RM17 to RM2,474 per tonne while September 2010 rose RM19
to RM2,448 per tonne.
Total turnover increased to 54,681 lots from 46,149 lots last week
while open interests was lower at 69,501 contracts from 70,974 contracts
previously.
On the physical market, the June South contract ended the week at
RM2,570 per tonne compared to RM2,560 per tonne last Thursday. —
Bernama
Source : Business Times
