Crude palm oil futures hit a new lifetime on the MCX on firm demand for edible oil in the spot markets. Malaysian palm oil futures jumped 4.98 percent to settle at 4,425 Ringgits on Bursa Malaysia Bhd.
Crude palm oil extended gains after a gap-up start in the evening session tracking firm global trend.
The agri commodity has been trading higher than 20, 50, 100 and 200-days’ moving averages but lower than 5-day moving averages on a daily chart. The momentum indicator Relative Strength Index (RSI) is at 70.71 which indicates neutral movement in the prices.
MPOB data showed Malaysia’s crude palm oil output jumped 28.4 percent on month to 1.4 million tons in March. Exports were 20.4 percent higher on a month to 452,205 tons in April, according to data by private cargo surveyor AmSpec Agri.
Although the demand scenario is uncertain in India due to the near lockdown situation in various states, industries continue to stock in crude palm oil for future retail and cosmetic production.
Kshitij Purohit, Product Manager, Currency & Commodities, CapitalVia Global Research Limited said, MCX CPO has been sustaining above 50-SMA. Prices may decline during the evening session and test Rs 1,219-1,213 levels. The market is trading in a strong uptrend and any dip in prices should be used as a buying opportunity for investors.
In the futures market, Crude Palm Oil (CPO) for May delivery touched an intraday high of Rs 1,229.70 and an intraday low of Rs 1,216.30 per 10 kg on MCX. So far in the current series, CPO has touched a low of Rs 997 and a high of Rs 1,229.70.
CPO delivery for May edged higher Rs 13.90, or 1.14 percent at Rs 1,228.60 per 10 kg at 18:58 hours IST with a business turnover of 5,047 lots.
CPO delivery for June gained Rs 17.60, or 1.49 percent at Rs 1,196.30 per 10 kg with a business volume of 2,001 lots.
The value of May and June's contracts traded so far is Rs 153.99 crore and Rs 83.35 crore, respectively.
For all commodities-related news, click here
Disclaimer: The views and investment tips expressed by experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
