Malaysian palm oil futures firmed, holding above MYR 4,400 per tonne and recovering from losses recorded since early May. The market drew support from a weaker ringgit, stronger soyoil prices in Chicago, and a sharp rise in crude oil prices amid heightened concerns over ship attacks and vessel seizures in the Strait of Hormuz. Traders also kept a close watch on the second day of talks between the U.S. and Chinese presidents in Beijing, hoping for indications of easing trade tensions.
Despite the rebound, palm oil futures remained on course for a third consecutive weekly loss, down about 1.7% so far, pressured by softer demand from key buyer India. The country’s palm oil imports tumbled 26% in April from March, reaching a four-month low as institutional buying slowed and palm oil’s price discount versus competing edible oils narrowed. Export data for the first ten days of May were mixed, with AmSpec Agri reporting a 10.8% drop in shipments, while Intertek estimated an 8.5% increase.
