Palm Oil Extends Losses, Trades Below MYR 4,700

Malaysian palm oil futures slipped further, staying below MYR 4,700 per tonne and hovering near a one-week low amid weakness in edible oils on the Dalian and Chicago exchanges. Signs of ample supply continued to weigh on sentiment, with Malaysia’s July palm oil inventories rising 3.32% mom, while production surged 9.41%. Lower crude oil prices also pressured edible oils after forecasts pointed to softer global oil demand in 2026. Meanwhile, Malaysia lowered its September crude palm oil reference price, but the adjustment was not enough to push the export duty below 10%. Still, a weaker ringgit helped cushion the downside by making palm oil more affordable for overseas buyers. Export prospects also improved, with cargo surveyors estimating Malaysian palm oil shipments rose between 2.6% and 14.8% in the first 10 days of August. In top buyer India, expectations of stronger festive-season demand provided additional support after July edible oil imports climbed to a ten-month high.



