Technically Crude palm Oil market is under long liquidation as market has witnessed drop in open interest by 2.29% to settled at 4529 while prices down 1 rupees.
Now MCX Crude palm Oil is getting support at 564.7 and below same could see a test of 562.8 level, And resistance is now likely to be seen at 569.5, a move above could see prices testing 572.4.
Crude palm Oil on MCX settled down by 0.18% at 566.5 tracking weakness in spot demand and overseas prices despite of supply uncertainty.
The World Vegetable Oil supply will grow by one million tons more than demand growth but most of increment supply will happen after June, so March-June Malaysia Palm Oil stocks will be tightest, boosting prices higher.
GAPKI's executive director said Indonesian palm oil exports to rise to 29 million tons next year from 28 million tons in 2017. Domestic consumption is also seen rising moderately in 2018 to 10 million tons from 9.7 million tons this year.
Indonesia palm oil output to rise to 38.5 million tons in 2018 compared to 36.5 million tons in 2017 on improved weather conditions and aid fruit yields. Easing la-nina concerns Hasan added that the rains will help palm oil crops shake off the lingering effects of an El Nino weather pattern in 2015.
The El Nino brought scorching heat across Southeast Asia, hitting palm's fresh fruit yields and lowering output. Malaysia palm oil exports during Nov 1-10 rose 2.53% compared to same period a month on higher demand from European Union and Middle East, data showed.
Malaysia palm oil exports rose to 436,988 tons during Nov 1-10 compared to 448,349 tons for the same period a month ago, DowJones reported citing data from Intertek, a private surveyor.
--CPO trading range for the day is 562.8-572.4.
--Crude palm oil ended with losses tracking weakness in spot demand and overseas prices despite of supply uncertainty.
-- Indonesia palm oil output to rise to 38.5 million tons in 2018 compared to 36.5 million tons in 2017 on improved weather conditions and aid fruit yields--higher demand from European Union and Middle East, data showed.
--Crude palm oil prices in spot market dropped by 2.20 rupees and settled at 547.00 rupees.