Kuala Lumpur: The crude palm oil (CPO) futures market is anticipated to experience volatility next week, as traders predict fluctuating prices. The market is expected to trade cautiously within a narrow range of RM3,800 to RM4,000 per tonne due to mixed market signals and ongoing global uncertainties.

According to BERNAMA News Agency, Interband Group of Companies senior palm oil trader Jim Teh stated that recent tariff news has not significantly affected CPO prices, which have remained relatively strong compared to the equity market. He noted the market’s acknowledgment of the Malaysian Palm Oil Board’s (MPOB) March report, indicating a rise in stock levels to approximately 1.562 million metric tonnes. Additionally, a sizeable stockpile in Indonesia has been observed. Demand for CPO remains steady from key markets such as China, India, Pakistan, Middle Eastern nations, and European Union countries.

Palm oil trader David Ng mentioned that prices might exhibit a bearish trend next week, fluctuating within RM4,050 to RM4,250 per tonne, amid ongoing uncertainty regarding US-China trade tensions. Over a Friday-to-Friday comparison, the spot month April 2025 contract decreased by RM241 to RM4,461 per tonne, while the May 2025 contract saw a slight reduction of RM13, settling at RM4,461. Conversely, the June 2025 contract increased by RM5 to RM4,333.

Furthermore, the July 2025 contract rose by RM103 to RM4,333 per tonne, the August 2025 contract increased by RM49 to RM4,212, and the September 2025 contract gained RM88 to RM4,212 per tonne. The weekly trading volume surged to 627,813 lots from 234,581 lots the previous week, and open interest grew to 486,398 contracts from the earlier count of 256,769. The physical CPO price for April South saw a reduction of RM260, settling at RM4,520 per tonne.