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2026.07.2703:34:32UTC+00Palm Oil Pulls Back from April High as Crude Oil Slips

Malaysian palm oil futures fell back below MYR 4,700 per tonne, breaking their recent upward streak after reaching their highest level since early April. The retreat was driven by profit-taking, a stronger ringgit, and declines in rival edible oils on the Dalian and Chicago exchanges. A steep drop in crude oil prices added to the pressure, as growing hopes for a diplomatic breakthrough in the Middle East lifted expectations of a normalization in shipping flows through the Strait of Hormuz. Even so, firmer export demand helped contain the downside. Cargo surveyor Intertek Testing Services estimated that exports for July 1–25 were up 15.9% from June. Consumption is also expected to be supported by higher biodiesel blending mandates in Indonesia and Malaysia. In India, the world’s largest importer, palm oil purchases are projected to increase between July and October as tightening edible oil supplies ahead of the festive season drive demand. Weather-related risks remain a key supportive factor, with Kuala Lumpur warning that record-high temperatures could dampen production next year.

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