Malaysian Palm Oil Futures May Fall Thursday Morning Amid Crude Oil Weakness

According to Jin10, Malaysian crude palm oil futures may fall on Thursday morning (June 25) as they follow weakness in international crude oil markets. Brent crude fell further in electronic trading Wednesday to a four-month low amid easing supply concerns, with more tankers exiting the Strait of Hormuz. Malaysian ringgit strength adds headwind to competitiveness.

However, improving export demand and potential El Nino weather impacts on Asian palm oil production may limit price declines. Malaysian palm oil exports grew 19.1% to 25% year-over-year from June 1-20, according to shipping surveys.

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