Crude Palm Oil yesterday traded with the positive node and settled 0.34% up at 555.5 on some short covering tracking spot demand. As per the latest release from Malaysian Palm Oil Board (MPOB), Malaysia’s July palm oil production increased by 15% to reach 1.69 million tonnes. MPOB mentioned that July palm oil ending stocks to 2 million tonnes while July exports plunged by 15% to 1.30 million tonnes. As per latest release from Cargo Surveyor Intertek Agri Services, Malaysia's palm oil exports in the first 10 days of August decreased by 1.85% from the same period in July to 3.57 lakh metric tonnes. World palm oil production for 2012 seen at 45 million tons, up 5 percent compared to the previous year. It is below than average rate due to tepid output in Malaysia and Indonesia. Developing El Nino weather pattern over Southeast Asia could lead to lower yields and may lift palm oil prices in medium term. Malaysia palm oil stocks hit a five-month high of nearly 2 million tonnes, almost in line with market expectations, industry regulator Malaysian Palm Oil Board said after the midday break. In yesterday's trading session Crude Palm oil has touched the low of 554.2 after opening at 556.9, and finally settled at 555.5. For today's session market is looking to take support at 553.6, a break below could see a test of 551.8 and where as resistance is now likely to be seen at 557.9, a move above could see prices testing 560.4.
CPO trading range for the day is 551.77-560.37.
Crude palm oil ended with gains on some short covering tracking spot demand.
Malaysia’s July palm oil production increased by 15% to reach 1.69 million tonnes.
World palm oil production for 2012 seen at 45 million tons, up 5 percent compared to the previous year
Crude palm oil prices in spot market gained by 4.20 rupees and settled at 554.20 rupees.