Malaysian palm oil futures advanced over 1% to around MYR 4,040 per tonne on Wednesday, snapping a four-session decline as bargain hunting emerged after prices hit a near five-month low. A rise in rival oils on the Chicago exchange and a mild recovery in crude oil prices also supported sentiment. Traders noted that top buyer India may increase its palm oil purchases by roughly 20% in the next marketing year due to more competitive pricing, providing additional support. Still, gains were limited by a stronger ringgit and weak export expectations, with cargo surveyor data indicating Malaysian shipments likely fell 16.4%–18.8% in the first 25 days of November from a month earlier. Meanwhile, October industry data showed output rising 11% to its highest since August 2015, while stocks climbed to a 6-1/2-year high. The Malaysian Palm Oil Board also set a lower crude palm oil reference price for December to maintain export competitiveness amid softer demand.
