Malaysian palm oil futures hovered near MYR 4,070 per tonne on Tuesday, after dipping around MYR 4,030 in the prior session, lifted by firmer edible oil prices on the Dalian and Chicago markets. Buying interest was also supported by India, the top importer, where palm oil purchases rose about 5% in November on more attractive prices. Meanwhile, exports showed tentative signs of stabilizing, with cargo surveyors noting palm oil shipments during Dec. 1–25 rose between 1.6% and 3% from November. In Indonesia, the world’s largest producer, key tariff issues with the U.S. had been resolved, with a deal projected in late January that may grant exemptions for select products, including palm oil. However, gains were capped by a stronger ringgit, which reduced export competitiveness. Overall, contracts are on track to end the year down around 8.5%, reversing last year’s solid gains, amid ample supplies and concerns over softer global demand in the near term. Markets will remain open on Dec. 31.
