( 13rd Sept 2020 ) The improved palm oil export data in August is expected to stimulate the price of crude palm oil futures contracts to rise this week.
Dr. Sathia Varqa, the founder of Singapore Palm Oil Analysis Company, said that this is based on the data of the Southern Malaysia Palm Fruit Manufacturers Association (SPPOMA). The output of the first 10 days of this month increased by 7.81%, which was a small increase from the 14.18% increase on the first 5 days of the same month.
"The key data to watch this week include the September data from the USDA."
At the same time, Zheng Jin, a senior palm oil trader at Interband Group, predicts that the crude palm oil futures market will trade at a low level of 2600 to 2700 ringgits per ton, mainly due to the slowdown in demand.
He said that due to the slowdown in inventory activity, it is expected that the demand from major importing countries such as China, India and Pakistan will follow.
"Overall, the palm oil market has performed better than other commodities, even if the field is facing labor shortages."
**Info & Image are taken online
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