Palm Futures Firmer as Investors Eye Better Demand

CRUDE palm oil (CPO) futures on Bursa Malaysia Derivatives closed

mostly firmer yesterday on expectations of a higher overseas demand and

bullish export data to be released next week.

The Malaysian Palm

Oil Board (MPOB) report is scheduled to be released next Wednesday.

According

to a dealer, investors are also hoping exports would be strong in

February based on demand from India and Pakistan. This will also limit

losses in palm oil prices.

At yesterday close, the February 2010 contract gained RM1 to RM2,525 per

tonne, March 2010 increased RM11 to RM2,530 per tonne, April 2010 added

RM11 to RM2,521 per tonne and May 2010 was RM18 higher at RM2,519 per

tonne.

Turnover rose to 15,644 lots from 14,814 lots on Thursday

while open interests declined to 74,744 contracts from 77,430 contracts

previously.

On the physical market, February South rose to

RM2,530 per tonne from the RM2,510 per tonne on Thursday.

Source : Business Times

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