CPO Futures Rise but Remain Far from Recent High

CPO futures rose on Friday but remain far from their recent 20-month high.

The November CPO contract on the Bursa Malaysia Derivatives traded between 4,881 and 4,946 ringgit per tonne, with some intermittent profit-taking occurring before bargain hunting took place in the last few hours of trading to close higher by 0.55% to 4,931 ringgit ($1,220) per tonne.

The smaller gains for nearby months continue to reflect expectations of relatively higher stock levels in the near term, while bullishness over El Niño's impact on palm oil production in 2027 and expectations of higher biodiesel-related domestic consumption by Indonesia, potentially limiting global supply, provide support.