12.01.202607:37:21UTC+00Palm Oil Rises After Monthly MPOB Report

Malaysian palm oil futures experienced a significant recovery on Monday, climbing 1.4% to approximately MYR 4,090 per tonne. This rebound followed a slight dip in the previous session and was driven by new data from the Malaysian Palm Oil Board (MPOB). The data revealed a 5.5% decrease in December output, which fell to 1.83 million tonnes, alleviating some supply concerns. Additionally, exports showed improvement, rising 8.5% to 1.32 million tonnes, following earlier signs of weakness. Furthermore, Intertek Testing Services, a cargo surveyor, reported a robust 29.2% increase in exports of Malaysian palm oil products from January 1-10 compared to the same period in December. The outlook for demand also appeared more positive in India, the world's largest importer, as purchases are anticipated to recover in January after reaching an eight-month low in December. However, the gains were moderated by the impact of a stronger ringgit, which affects export competitiveness, and weaker edible oil prices on China's Dalian exchange. Traders remained cautious, with key Chinese economic data anticipated this week, including December trade figures and Q4 GDP.