Palm Oil Rebounds Amid Oil Strength, Firm Exports

2026-07-20 04:48 By Farida Husna 1 min. read

Malaysian palm oil futures traded above MYR 4,600 per tonne, recovering from the prior weakness as stronger edible oil prices on the Dalian and Chicago exchanges lifted sentiment.

Higher crude oil prices also provided support after intensified attacks in the Middle East disrupted energy shipments through the Strait of Hormuz, boosting the appeal of biodiesel feedstocks.

Export demand remained solid, with cargo surveyors estimating palm oil shipments during July 1-15 increased by between 4% and 12.4% from the same period in June.

Supply concerns also persisted after the U.S.

Climate Prediction Center said El Niño had strengthened over the past month and is expected to intensify through 2026 before lasting into early 2027, raising risks of lower palm oil production in the coming months.

However, gains were capped by weaker demand from top buyer India, where palm oil imports fell to a 14-month low in June as the narrower price discount against competing edible oils discouraged purchases.



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Palm Oil Rebounds Amid Oil Strength, Firm Exports
Malaysian palm oil futures traded above MYR 4,600 per tonne, recovering from the prior weakness as stronger edible oil prices on the Dalian and Chicago exchanges lifted sentiment. Higher crude oil prices also provided support after intensified attacks in the Middle East disrupted energy shipments through the Strait of Hormuz, boosting the appeal of biodiesel feedstocks. Export demand remained solid, with cargo surveyors estimating palm oil shipments during July 1-15 increased by between 4% and 12.4% from the same period in June. Supply concerns also persisted after the U.S. Climate Prediction Center said El Niño had strengthened over the past month and is expected to intensify through 2026 before lasting into early 2027, raising risks of lower palm oil production in the coming months. However, gains were capped by weaker demand from top buyer India, where palm oil imports fell to a 14-month low in June as the narrower price discount against competing edible oils discouraged purchases.
2026-07-20
Palm Oil Eases, Still Set for Weekly Gain
Malaysian palm oil futures edged lower, hovering below MYR 4,600 per tonne after recent gains amid softer edible oil prices on the Dalian markets. Demand concerns also pressured risk appetite, as palm oil imports by top buyer India fell to a 14-month low in June after a narrower discount to rival oils curbed purchases. Meanwhile, China's economy grew at its slowest pace since late 2022 in Q2, raising concerns over demand from another key importer. Despite the pullback, the contract remained on track for its first weekly gain in four, up about 1.7%, lifted by improving export prospects. Cargo surveyors noted palm oil shipments during July 1-15 rose between 4% and 12.4% from the same period in June. Meanwhile, Malaysia raised its August crude palm oil reference price, keeping the export duty at 10%. Crude oil prices also stayed elevated amid limited flows through the Strait of Hormuz as the U.S. and Iran intensified attacks, lending support to palm oil through stronger biodiesel demand.
2026-07-17
Palm Oil Edges Higher as Export Demand Improves
Malaysian palm oil futures rose modestly to trade above MYR 4,550 per tonne after recent weakness, supported by stronger export prospects. Cargo surveyors estimated that palm oil shipments during July 1-15 increased between 4% and 12.4% from the same period in June, pointing to firmer overseas demand. Malaysia also raised its August crude palm oil reference price, keeping the export duty at 10%. Meanwhile, crude oil prices remained elevated amid supply disruptions in the Strait of Hormuz, reinforcing palm oil's appeal as a biodiesel feedstock. However, gains were capped by a stronger ringgit and weaker rival edible oils on the Dalian and Chicago exchanges. Additional pressure came from softer demand prospects in key importing markets. In India, palm oil imports fell to a 14-month low in June as a narrower discount to competing oils curbed buying interest, while China's economy expanded at its slowest pace since late 2022 in Q2, raising concerns over future demand.
2026-07-16