KUALA LUMPUR, Aug 4: Malaysian crude palm oil futures bounced off 5-1/2-month lows but remained weak on Thursday, weighed down by losses in main rival US soyaoil. The benchmark palm oil contract on Bursa Malaysia Derivatives, October, ended down 14 ringgit at 1,352 ringgit ($360.53) a ton. It fell to 1,343 ringgit in the morning, the lowest level since February 22.
Overall volume doubled to 5,647 lots of 25 tons each, from Wednesday’s 2,811 lots. Five plantation firms surveyed by Reuters last week put production of palm oil in Malaysia, the world’s top producer, at 3.5 per cent higher in July than June due to a jump in yields. The market has since been talking of a 5.0 per cent growth.
In physical dealings of crude palm oil on Thursday, August contract was offered at 1,340 ringgit a ton against bids of 1,335 ringgit in the southern and central regions of Malaysia. Trades were reported at 1,345-1,335 ringgit in both regions. —Reuters
