CPO Futures Mart to Remain Listless

Crude palm oil (CPO) futures contract on the Malaysia Derivatives

Exchange is expected to remain listless as the market

remained clouded with external negative factors, said a dealer.

“As long as the euro-zone crisis remains the headline of the day,

commodities market are expected to remain in the doldrums,” he said,

adding that the CPO futures may hover between RM2,540 and RM2,650 per

tonne next week.

On a positive note, the dealer said lower-than-expected end-April

stocks and production could help the market cushion some downfall.

The Malaysian Palm Oil Board (MPOB) is anticipated to release

April’s import, export, production and stock figures, while Cargo

surveyors ITS and SGS are due to release export estimates for the first

10-days of May.

“We hope these data will give some impetus to the market,” he said.

On a Friday-to-Friday basis, May 2010 slipped RM19 to RM2,558, June

2010 shed RM7 to RM2,534, July 2010 dipped RM39 to RM2,519 and August

2010 fell RM35 to RM2,514.

Weekly turnover rose to 70,198 lots from 62,342 lots last week.

Open interest, at the end of the week, totalled 65,625 contracts

compared with last Friday’s 63,191 contracts.

On the physical market, April South shed RM10 to RM2,570 per

tonne. — Bernama

Source : Business Times

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