Palm Oil Retreats on Ample Supplies, Profit-Taking

2026-08-12 03:13 By Farida Husna 1 min. read

Malaysian palm oil futures eased, slipping below MYR 4,720 per tonne as profit-taking set in after a two-week high.

Losses tracked declines in edible oils on the Dalian exchange and were compounded by signs of ample supply: July inventories rose 3.32% to 2.63 million tonnes, while output surged 9.41% to 1.79 million tonnes.

Softer Chinese inflation data underscored weak demand in the world’s top edible oil importer, further weighing on sentiment.

Still, downside was cushioned by a weaker ringgit and firmer soyoil prices on the Chicago exchange.

In top buyer India, festive-season demand expectations lent support after July imports hit a ten-month peak.

Export prospects brightened as cargo surveyors estimated shipments rose between 2.6% and 14.8% in the first ten days of August.

Meanwhile, stronger crude oil prices added a tailwind, with Middle East supply concerns, heightened by attacks on two ships and uncertainty over a U.S.–Iran peace deal, bolstering the broader commodity complex.



News Stream
Palm Oil Retreats on Ample Supplies, Profit-Taking
Malaysian palm oil futures eased, slipping below MYR 4,720 per tonne as profit-taking set in after a two-week high. Losses tracked declines in edible oils on the Dalian exchange and were compounded by signs of ample supply: July inventories rose 3.32% to 2.63 million tonnes, while output surged 9.41% to 1.79 million tonnes. Softer Chinese inflation data underscored weak demand in the world’s top edible oil importer, further weighing on sentiment. Still, downside was cushioned by a weaker ringgit and firmer soyoil prices on the Chicago exchange. In top buyer India, festive-season demand expectations lent support after July imports hit a ten-month peak. Export prospects brightened as cargo surveyors estimated shipments rose between 2.6% and 14.8% in the first ten days of August. Meanwhile, stronger crude oil prices added a tailwind, with Middle East supply concerns, heightened by attacks on two ships and uncertainty over a U.S.–Iran peace deal, bolstering the broader commodity complex.
2026-08-12
Palm Oil Extends Strength Despite Ample Supply
Malaysian palm oil futures pushed higher, hovering above MYR 4,740 per tonne and marking the strongest level in more than two weeks, as a softer ringgit boosted export competitiveness and firmer palm olein prices on the Dalian exchange also lent support. Export estimates reinforced the bullish tone, with cargo surveyors reporting Malaysian palm oil shipments increased between 2.6% and 14.8% in the first 10 days of August. Demand prospects in top consumer India also improved, with July edible oil imports climbing to a 10-month high as refiners stepped up palm oil and soyoil purchases ahead of the festive season. However, gains were capped by signs of abundant supply. Malaysia’s July inventories rose 3.32% month-on-month to 2.63 million tonnes, while production jumped 9.41% to 1.79 million tonnes. Meanwhile, in China, another key buyer, both consumer and producer price inflation eased in July, underscoring weak domestic demand that could limit further upside in palm oil.
2026-08-11
Palm Oil Rises on Export Strength, Firmer Edible Oils
Malaysian palm oil futures were notably higher, trading near MYR 4,720 per tonne and snapping recent losses, as firmer edible oil prices in Dalian and Chicago supported sentiment. Strong export demand added momentum, with a monthly report from the Malaysian Palm Oil Board showing July shipments up 14.5% from June to 1.39 million tonnes. Demand prospects in top buyer India also improved, as edible oil imports hit a 10-month high in July, with refiners stocking up on palm oil and soyoil ahead of the festive season. However, a stronger ringgit capped the gain. Meantime, Malaysia’s palm oil stocks rose 3.32% mom to 2.63 million tonnes in July, while production grew 9.41% to 1.79 million tonnes, highlighting ample near-term supply. In China, a key palm oil consumer, both CPI and PPI inflation eased in July, underscoring persistently weak domestic demand. Traders now await export estimates for August 1-10 from cargo surveyors after July shipments rose 12.1%-19.5% from June.
2026-08-10