Malaysian crude palm oil futures rose yesterday, recovering most of their 3 per cent fall from a day earlier, helped by tightness in the physical market, traders said.
“In the physical market, we have seen less (palm oil) vehicle movements lately, so the best way for refiners is to buy futures,” a trader at a Kuala Lumpur-based commodities brokerage said.
The benchmark May contract on the Bursa Malaysia Derivatives Exchange rose RM52, or 2.7 per cent, to RM1,972(US$532) per tonne.
Other traded contracts rose between RM3 and RM71. Overall volume was a heavy 18,524 lots of 25 tonnes each, much bigger than normal volume of around 10,000 lots.
Malaysian palm oil production declined faster then a drop in exports, taking palm stocks at end February to a 16-month low, data showed on Wednesday.
The drop in stocks helped allay fears over the longer term price outlook after influential analyst Dorab Mistry and James Fry warned at Bursa Malaysia’s Palm Oil Conference this week that prices could fall to RM1,500 this year on less demand.
“Everybody is so bearish from the conference but the market is still trending higher. I think as long as the stocks remain low, the market will remain positive,” the Kuala Lumpur-based brokerage trader said.
Tidak ada komentar:
Posting Komentar