Kuala Lumpur:Crude palm oil (CPO) futures on Bursa Malaysia Derivatives are anticipated to turn bearish next week as profit-taking activities are expected to influence the market.

According to BERNAMA News Agency, Jim Teh, a senior palm oil trader with the Interband Group of Companies, noted that the anticipated decline in prices might aid in reducing Malaysia's high palm oil stock levels ahead of the Malaysian Palm Oil Board's (MPOB) September data release. He projected that the trading range would be between RM4,200 to RM4,300 per tonne, which could assist in clearing some stock positions.

Teh also mentioned that physical demand is expected from regions such as China, India, Pakistan, West Asia, the European Union, and the United States.

In addition, David Ng, a proprietary trader with Iceberg X, commented that market sentiment for the upcoming week is likely to be cautious as investors evaluate the forthcoming MPOB report, especially concerning inventories and export performance. He expects prices to trade between RM4,500 and RM4,750 per tonne next week.

Reviewing the contracts on a Friday-to-Friday basis, the October 2026 contract increased by RM8 to RM4,362 per tonne, the November 2026 contract rose by RM24 to RM4,465 per tonne, and the December 2026 contract went up by RM57 to RM4,592 per tonne. The January 2027 contract gained RM82 to RM4,709 per tonne, the February 2027 contract climbed RM101 to RM4,810 per tonne, and the March 2027 contract added RM116 to RM4,902 per tonne.

The weekly trading volume decreased to 556,937 lots from 609,973 lots the previous week, while open interest improved to 337,867 contracts from 334,658 contracts. Additionally, the physical CPO price for October South increased by RM50 to RM4,450 per tonne.