Malaysian palm oil futures prices continuously in a falling streak, fell more than 2% to their lowest in nearly a month, mostly weighed down by weaker related edible oils. Also, the expectation of higher than expected palm inventory in origins keeps prices in check. Despite better exports demand in April. AMSPEC pegged 2% higher export in the month of April.
To boost the demand Malaysia has just signed a deal with China to export more to them in order to help reduce the burdensome supplies, which may slightly support the market.
SPOMA pegged 1-25 April production up by 3.28%, FFB production increased by 4.70 but OER is down by 0.27%. and MPOA pegged 1-20th April overall Malaysia production down by 0.33%, PM is higher by 1.70% and Subah, Sarawak production is -7.50% and +11.36 respectively.
Bearish fundamentals are more dominating then market opportunity, Along with the weak outlook from Soybean also keep veg oils prices down.