Worry about Production Outlook, Malaysian CPO Price Still Potentially Down

By : Abraham Sihombing And Aldo Bella Putra | Tuesday, August 08 2017 - 13:26 IWST

5166
5166

INDUSTRY.co.id - Jakarta - Despite opening at 2,589 ringgit per ton, slightly higher than the previous day, crude palm oil (CPO) prices are expected to fall on Tuesday's trade (08/08/2017).

"The reason is that market players are still worried about the CPO production data in July 2017 which will be officially published by Malaysian Palm Oil Board (MPOB) on August 10, 2017," said Faisyal, an analyst of PT Monex Investindo commodity products in Jakarta, Tuesday / 08/2017).

Faisyal said the price of CPO in trading today was also influenced by negative sentiment arising from the decline in crude oil prices in line with the increase of Libyan crude oil production after recovery of production in Sharara oil field, which is the largest oil field in the country Gaddafi.

In addition, a poll conducted by Reuters on 9 CPO traders, palm oil planters and CPO analysts informed, Malaysian palm fruit bunches production in July 2017 rose 11% to 1.68 million tons. The condition caused Malaysia's CPO reserves to increase 6.5% to 1.63 million tons.

Technically, Faisyal said, the price of CPO in Malaysia is expected to move in the range of 2540-2630 ringgit per ton. The support point is expected to reach 2,540 ringgit per ton. However, before penetrating the support point, CPO price will first test the support level 2,580 ringgit per ton.

"Meanwhile, the resistance point is estimated at 2,600 ringgit per ton. If the level has been reached, then the price of CPO has a chance to break the price level of 2630 ringgit per ton " Faisyal concluded. (Abraham Sihombing)

News Comment

Today's Industry

Oleg Mogilevsky - Product Marketing Manager at Check Point Software Technologies (Photo by Linkedin)

Selasa, 10 November 2020 - 11:00 WIB

Five Reasons to Reevaluate Your Endpoint Protection

With the new emerging threats caused by remote working standards, security professionals need to reevaluate their approach to protecting endpoints. In order to do so, it’s vital that organisations…

Darrell Adams, Head of Southeast Asia & Oceania, Universal Robots (Photo by LinkedIn)

Selasa, 10 November 2020 - 10:30 WIB

Collaborative Robots Open New Horizons in Quality Control Processes

Collaborative robots (cobots) offer suitable solutions to manufacturers. Hence, cobot-based quality control and inspection systems that can transition between different end products in very…

Ilustration Hackers (Photo by Microwire.info)

Jumat, 30 Oktober 2020 - 11:20 WIB

Organisations Paid Hackers US$23.5 Million for These 10 Vulnerabilities in One Year

HackerOne report reveals cross-site scripting, improper access control, and information disclosure top list of most common and impactful vulnerabilities.

Clean Earth Technologies (CET)

Jumat, 30 Oktober 2020 - 10:30 WIB

Clean Earth Technologies’ New Class Of Polymers Invented By Associate Professor, Justin Chalker, Receives Australian Pm’s New Innovator Award

Associate Professor Justin Chalker has invented a novel class of polymers synthesised directly from elemental sulphur which is a waste by-product of the petrochemical industry and renewable…

Adi Ikan - Network Research & Protection Group Manager, at Check Point Software Technologies (Photo by Linkedin)

Jumat, 30 Oktober 2020 - 10:05 WIB

Measuring the Global Impact of the NSA’s Top 25 Vulnerabilities Being Exploited In the Wild

NSA’s list of top vulnerabilities were used to launch 3 million attacks in 2020, with 2.5 million of those attacks occurring in the last 6 months.