Palm Oil: increased to a 5-week high of 4335 MYR/T, supported by signs of more robust export demand from Malaysia. According to cargo surveyors’ data, exports of palm oil products from the world’s second-largest producer for August 1-10 rose by approximately 10% from the same period in July.
Meanwhile, according to the median estimate of 11 traders and analysts polled by Reuters on Thursday, Malaysia’s exports expanded 2.2% in July to 1.22 million tonnes while imports jumped 35% to 80,000 tonnes.
Malaysia’s palm oil inventories rose 8.3% from June to the highest in eight months of 1.79 million tonnes in July, due to improving production and soaring imports. Production also grew to its highest since November, up 2% to 1.58 million tonnes.
On top of that, Indonesia’s decision to lower its export tax threshold on crude palm oil lent further optimism to bulls. Still, fundamentals in the palm oil complex continue to be clouded by rising supplies from rival Indonesia.