Kuala lumpur: Crude palm oil (CPO) futures on Bursa Malaysia Derivatives are expected to see stabilisation with a bearish bias next week, amid ample supply and easing energy prices. Interband Group of Companies senior palm oil trader Jim Teh said CPO prices are likely to move within a narrower range as crude oil prices ease amid improving geopolitical developments.

According to BERNAMA News Agency, Teh mentioned that CPO prices will stabilise as energy prices decline due to the United States-Iran negotiations. He projected the futures market to trade between RM4,200 and RM4,350 next week. The market continues to observe energy prices, with speculators potentially taking profits after the recent uptrend.

Teh further noted that supply conditions remain ample in both Malaysia and Indonesia, with no immediate concerns over shortages. Demand is expected to be driven by key importing countries such as China, India, Pakistan, as well as several Middle Eastern and European Union markets.

On a Friday-to-Friday basis, the May 2026 contract fell RM114 to RM4,386 per tonne, June 2026 declined RM116 to RM4,422 per tonne, and July 2026 was RM101 lower at RM4,450 per tonne. The August 2026 contract decreased RM82 to RM4,457 per tonne, and September 2026 dipped RM71 to RM4,449 per tonne, while the October 2026 contract remained at RM4,435 per tonne.

The weekly trading volume increased to 429,556 lots from 391,313 lots last week, while open interest rose to 260,192 contracts from 259,223 contracts previously. In the physical market, the CPO price for April South dropped RM120 to RM4,460 per tonne.