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KUALA LUMPUR, Feb 15 — The crude palm oil (CPO) futures contract on Bursa Malaysia Derivatives closed higher backed by stronger export data, according to an analyst.
Singapore-based Palm Oil Analytics owner and co-founder Dr Sathia Varqa referred to cargo surveyor Intertek Testing Services (ITS) which recently reported that CPO exports from Feb 1-15 rose 27.36 per cent to 530,545 tonnes from 416,565 tonnes shipped during the same period in January.
Amspec Inspection Malaysia Sdn Bhd also recorded a higher export on Feb 1-15, surging 27.31 per cent to 542,709 tonnes from 426,276 tonnes in Jan 1-15.
“Solid gains in Asian equities and bullish sentiment from tight palm supply outlook also lifted CPO Futures to 22 days high,” Varqa told Bernama.
Meanwhile palm oil trader David Ng said the market was also lifted by sentiment of stronger soy bean oil prices on the US Chicago Board of Trade.
“We locate support at RM3,600 per tonne and resistance at RM3,650 per tonne,” he said.
At the close, the CPO futures contract for February 2020 increased RM27 to RM3,925 per tonne, March 2021 surged RM106 to RM3,939 per tonne, April 2021 jumped RM157 to RM3,715 per tonne, and May 2021 leaped RM177 to RM3,524 per tonne.
Total volume firmed to 53,427 lots from 29,033 lots on Thursday, while open interest soared to 253,201 contracts from 220,640 contracts previously.
The physical CPO price for February South added RM20 to RM3,960 per tonne. — Bernama