Palm Oil Rebounds on Firmer Edible Oils, Export Optimism

Malaysian palm oil futures bounced back to trade above MYR 4,650 per tonne, recovering from recent losses as stronger Dalian palm oil and Chicago soybean oil prices improved sentiment. Higher crude oil prices, supported by a drawdown in U.S. crude inventories, also boosted the biodiesel outlook and lent additional support. On the demand front, cargo surveyors estimated Malaysia’s palm oil exports for July 1–25 increased between 8.1% and 15.9% from the same period in June. Meanwhile, palm oil imports by top buyer India are expected to rise between July and October as tighter edible oil supplies ahead of the festive season lift buying interest. Meanwhile, Indonesia is reportedly seeking a U.S. exemption for palm oil under the new 10% tariff regime to safeguard its export competitiveness. However, gains were tempered by a stronger ringgit and reports that European Union palm oil imports for the 2026/27 marketing year, which began in July, plunged 39% yoy to 0.13 million tonnes.


