SINGAPORE: Malaysian palm oil futures slid for a sixth consecutive session on Thursday with prices trading near seven-month low, weighed down by slowing demand.

The benchmark third month palm oil contract on the Bursa Malaysia Derivatives Exchange finished down 0.2 per cent, or 3 ringgit, at 1,963 ringgit ($473.93) per tonne. “Demand is slowing down but we don’t see a major downside from here. Prices are likely to be locked in a range,” said a Kuala Lumpur-based trader. “The focus going forward is the Indian monsoon and excessive rains in the United States.” Monsoon rains have covered most parts of cane, cotton, and soybean fields in western India and some parts of rice-sowing areas in central and northern India, the country’s weather office said. After a limping start, rains have covered nearly half of the country.

Published in Dawn, June 28th, 2019