By Abdul Hamid A Rahman

KUALA LUMPUR, Dec 11 (Bernama) -- Crude palm oil (CPO) futures contract on Bursa Malaysia Derivatives ended mixed with marginal fluctuations in closing prices, primarily due to reduction in exports.

Palm oil trader David Ng said the decline in exports had a detrimental effect on market sentiment; it raised concerns about the overall demand and health of the market, leading to cautious trading and limited price movement.

“We have identified a support level at RM3,650 (which) signifies a price point where the market tends to find buying interest and potentially prevent further price declines. 

“Conversely, a resistance level at RM3,850 is identified, indicating a price point where selling interest becomes stronger, making it challenging for the market to surpass this price level,” he told Bernama.

Nevertheless, he expects the anticipation of lower production and inventory levels in tomorrow's Malaysia Palm Oil Board report as a factor to bolster prices in the short term. 

At the close, December 2023 and January 2024 contracts edged up RM5 to RM3,605 and RM3,694 per tonne, respectively, and February 2024 inched up RM1 to RM3,741 per tonne.

March 2024 decreased RM3 to RM3,766 per tonne, April 2024 was lower by RM6 at RM3,764 per tonne and May 2024 was RM4 down to RM3,749 per tonne.

Total volume rose to 46,553 lots from 41,141 last Friday, while open interest was up to 215,539 contracts from 214,153 previously.

The physical CPO price for December South increased by RM10 to RM3,680 per tonne.

-- BERNAMA