Malaysian Palm Oil Prices Plummet Amid Output and Export Worries

Malaysian palm oil futures plummeted more than 2% on Friday to their lowest level in over seven weeks, weighed down by concerns of higher output and weak exports.

The benchmark palm oil contract for December delivery on the Bursa Malaysia Derivatives Exchange fell 99 ringgit (2.07%) to 4,673 ringgit ($1,148.16) a metric ton, its lowest close since August 3.

Anilkumar Bagani, research head at Mumbai-based vegetable oil broker Sunvin Group, attributed the decline to higher-than-expected palm oil production and weak exports, which may push Malaysian stocks above 3.1 million tons by September's end.