Palm Oil Extends Rally
Malaysian palm oil futures jumped more than 1.5% to near MYR 4,600 per tonne on Thursday, marking solid gains for the second straight session amid a weaker ringgit, firmer edible oils in Dalian and Chicago markets, and a surge in crude oil prices. Export optimism added support, with cargo surveyors reporting March 1–10 shipments soared between 37.9%–45.3% from February, driven by stronger demand during Ramadan and ahead of Eid. Supply data reinforced the momentum, as February inventories fell 3.9% to a four-month low of 2.70 million tonnes, while crude palm oil output plunged 18.6% to 1.28 million tonnes. Demand from top buyer India also improved, with February imports rising 10.1% to 844,000 tonnes, the highest in six months, on wide discounts versus rival oils. However, upside momentum was capped as Indonesia, the world’s largest producer, accelerated road tests for its B50 biodiesel blend, a contingency measure against potential crude supply shocks linked to Middle East tensions.
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