By Abdul Hamid A Rahman
KUALA LUMPUR, Aug 19 (Bernama) -- Crude palm oil (CPO) futures on Bursa Malaysia Derivatives ended higher on Wednesday, tracking gains in soybean oil on the Chicago Board of Trade (CBOT).
Iceberg X Sdn Bhd proprietary trader David Ng told Bernama that firmer crude oil prices amid the continuing US-Iran conflict also boosted market sentiment.
“Concerns that El Niño-related weather conditions could reduce palm oil production had also fuelled expectations of tighter supply. The combination of stronger external markets and concerns over production continues to keep the CPO market firm,” he said.
Ng expects prices to be supported above RM4,850 per tonne, with resistance at RM4,980.
Malaysian Meteorological Department (MetMalaysia) director-general Dr Mohd Hisham Mohd Anip said the likelihood of El Nino, which typically brings hotter and drier conditions, reaching the “very strong” or “Super El Nino” category between October and December has risen to more than 90 per cent.
At the close, the September 2026 contract rose RM38 to RM4,654 per tonne, October 2026 gained RM40 to RM4,794 per tonne, and November 2026 added RM33 to RM4,893 per tonne.
The December 2026 contract advanced RM29 to RM4,972 per tonne, January 2027 climbed RM26 to RM5,033 per tonne, and February 2027 increased RM23 to RM5,071 per tonne.
Trading volume decreased to 142,285 lots from 165,588, while open interest widened to 336,503 contracts from 333,655 previously.
The physical CPO price for September South increased by RM30 to RM4,640 per tonne.
-- BERNAMA