Malaysian palm oil futures rose 1.3% to around MYR 4,650 per tonne, rebounding from earlier losses as stronger prices on China’s Dalian Commodity Exchange provided support. Export prospects also improved after surveyor Intertek estimated that Malaysia’s shipments jumped 33.5% in the first ten days of October compared with the same period in September.
In India, the world’s largest buyer, refiners reportedly purchased about 150,000 tonnes of palm oil over three days last week, amid tight sunflower oil supplies ahead of the November festive season.
However, gains were limited by bearish monthly data from the Malaysian Palm Oil Board. September inventories surged 24.5% to a record 3.51 million tonnes, extending a six-month upward trend. Output increased 16.5% to 2.12 million tonnes, the highest level since August 2015, while exports declined 12.1% to 1.12 million tonnes, marking a second consecutive monthly drop.
Traders remained cautious, awaiting China’s inflation and trade data due later this week for further indications of demand from another key consuming market.
