13.01.202604:17:04UTC+00Palm Oil Rises Further, Hovers at 5-Week High

Malaysian palm oil futures climbed by nearly 1% to approximate MYR 4,130 per tonne on Tuesday, extending the upward trajectory from the previous session and reaching a five-week high, driven by stronger edible oil markets in Dalian and Chicago. Recent monthly data from the industry regulator indicated a 5.5% decrease in December production, bringing it down to 1.83 million tonnes, thereby tightening supply ahead of the Lunar New Year and Ramadan. Concurrently, shipments increased by 8.5% to 1.32 million tonnes in December following earlier declines. Furthermore, cargo surveyors reported a significant rise in palm oil product exports between January 1st and 10th, showing gains of 17.7% to 29.2% compared to December figures. Buying interest intensified in India, the world's largest importer, as purchases are anticipated to increase in January after reaching an eight-month low in December. Nonetheless, the upside potential was moderated by a stronger ringgit, caution surrounding imminent data expected this week from major buyer China, and uncertainty regarding the progress of Indonesia's B50 biodiesel plan, the leading supplier.