KUALA LUMPUR, May 23: Malaysian crude palm futures ended higher on Wednesday, just short of a near-nine-year high due to tight supplies and hopes of steady growth in exports.
The benchmark August contract finished up 14 ringgit at 2,389 ringgit ($705) a ton, only 4 ringgit shy of a near-nine-year high reached last week.
Right now, the market is poised for a rally that will push the benchmark to new highs if the export data turns out to be good, one dealer said.
Cargo surveyors Intertek Testing Services and Societe Generale de Surveillance will release May 1 to 25 export numbers on Friday.
But once the exports gets factored in, the market might be in for a very necessary technical correction, said another trader.
The palm oil market has gained close to 20 per cent this year after surging 40 per cent in 2006 on the back of demand from the biodiesel and food sectors.
Other traded months rose between 3 and 13 ringgit, except for January and March 2008, which were marginally down.
Exports of Malaysian palm oil products for May 1-20 rose 1.3 per cent to 799,579 tons from 789,644 shipped between April 1 and 20, cargo surveyor Societe Generale de Surveillance, said.
In the physical market, crude palm oil for May shipment in the southern region was quoted at 2,535/2,540 ringgit a ton.
