Palm Oil Set for Third Straight Weekly Decline

2026-09-11 04:06 By Farida Husna 1 min. read

Malaysian palm oil futures edged lower, hovering below MYR 4,900 per tonne and extending their recent decline amid bearish monthly data from the Malaysian Palm Oil Board.

In August, inventories rose 7.48% mom to an eight-month high of 2.82 million tonnes, while exports fell 7.5% to 1.29 million tonnes.

Production, meanwhile, rose 1.39% to 1.82 million tonnes, adding to concerns over ample supplies.

Early September shipments also remained weak, with cargo surveyors reporting that palm oil exports fell 11.7–17.5% in the first 10 days of the month from the same period in August.

Higher crude oil prices capped weakness, with Brent rising above US$100 a barrel amid Middle East uncertainty, boosting palm oil’s appeal as a biodiesel feedstock.

Unusually dry conditions and low rainfall in Indonesia and Malaysia over the past six weeks, exacerbated by reduced fertiliser application, also offered some support.

Contracts are heading for a third straight weekly drop, down around 0.9% so far.



News Stream
Palm Oil Set for Third Straight Weekly Decline
Malaysian palm oil futures edged lower, hovering below MYR 4,900 per tonne and extending their recent decline amid bearish monthly data from the Malaysian Palm Oil Board. In August, inventories rose 7.48% mom to an eight-month high of 2.82 million tonnes, while exports fell 7.5% to 1.29 million tonnes. Production, meanwhile, rose 1.39% to 1.82 million tonnes, adding to concerns over ample supplies. Early September shipments also remained weak, with cargo surveyors reporting that palm oil exports fell 11.7–17.5% in the first 10 days of the month from the same period in August. Higher crude oil prices capped weakness, with Brent rising above US$100 a barrel amid Middle East uncertainty, boosting palm oil’s appeal as a biodiesel feedstock. Unusually dry conditions and low rainfall in Indonesia and Malaysia over the past six weeks, exacerbated by reduced fertiliser application, also offered some support. Contracts are heading for a third straight weekly drop, down around 0.9% so far.
2026-09-11
Palm Oil Under Pressure After Bearish MPOB Data
Malaysian palm oil futures fell around 1.3% to MYR 4,900 per tonne, extending their recent drop to a one-week low. Sentiment was pressured after Malaysian Palm Oil Board data showed inventories rose 7.48% mom in August to an eight-month high of 2.82 million tonnes. Meanwhile, exports fell 7.5% to 1.29 million tonnes, with production adding 1.39% to 1.82 million tonnes, reinforcing concerns over ample supply. Risk appetite was further weighed by weaker edible oil prices in Dalian and Chicago and a stronger ringgit. In India, heavy edible oil buying has congested major ports, delaying vessel unloading by up to 10 days as storage tanks overflow, potentially curbing near-term import demand. Still, losses were capped by elevated crude oil prices, with Brent breaching US$100 a barrel amid renewed Middle East tensions, boosting palm oil’s appeal as a biodiesel feedstock. Dry weather across Southeast Asia also fueled concerns over yields following fires and haze in Borneo and Sumatra.
2026-09-10
Palm Oil Dips Ahead of MPOB Data
Malaysian palm oil futures slipped more than 1% to around MYR 4,900 per tonne, extending their decline to a one-week low. Weaker edible oil prices in Dalian and Chicago, along with a stronger ringgit, weighed on sentiment. Traders also turned cautious ahead of monthly data from the Malaysian Palm Oil Board later today. Meanwhile, exports remained sluggish, with cargo surveyors estimating August palm oil shipments fell between 6.5% and 14.9% from July. In India, heavy vegetable oil buying has congested major ports, delaying vessel unloading by up to 10 days as storage tanks overflow, potentially dampening near-term import demand. Still, losses were tempered by firm crude oil prices after Brent breached US$100 a barrel amid renewed Middle East tensions, boosting the appeal of palm oil as a biodiesel feedstock. Simultaneously, unusually dry weather across Southeast Asia fueled concerns over palm yields following fires and haze in Borneo and Sumatra.
2026-09-10