KUALA LUMPUR: The crude palm oil (CPO) futures on Bursa Malaysia Derivatives witnessed a downturn on Monday, as traders opted to cash in gains from a recent price surge. The market experienced a notable reversal in earlier gains, influenced by profit-taking activities among traders.

According to BERNAMA News Agency, palm oil dealer David Ng highlighted that the weaker seasonal export demand has contributed to the dampening demand for CPO, impacting market sentiment. Ng indicated that the prices are finding support at RM4,550, with resistance expected at RM4,800.

The trading session concluded with the January 2025 contract dropping by RM50 to settle at RM4,925 per tonne. In tandem, the February 2025 contract saw a decline of RM67 to RM4,714, and the March 2025 contract fell by RM73 to RM4,551. The April 2025 contract closed RM67 lower at RM4,392 per tonne, with both May 2025 and June 2025 contracts shedding RM61 to reach RM4,270 and RM4,192, respectively.

Trading volume experienced a decline, with 45,092 lots traded, down from 56,591 lots observed last Friday. Open interest similarly depreciated, decreasing to 239,837 contracts from the previous 242,999 contracts. Additionally, the physical CPO price for January South saw a reduction of RM20, closing at RM5,030 per tonne.