JAKARTA, InfoSAWIT – Indonesian crude palm oil (CPO) prices traded higher at the state-run PT Kharisma Pemasaran Bersama Nusantara (KPBN) auction on Thursday, supported by firmer domestic pricing, while Malaysian palm oil futures remained confined to a narrow range as traders weighed expectations of stronger production against sluggish export demand.
According to KPBN data, the Franco Dumai CPO price was set at Rp15,545 per kilogram, up Rp128/kg, or 0.83%, from the highest offer recorded a day earlier at Rp15,417/kg.
Meanwhile, the FOB Talang Duku tender was listed at Rp15,345/kg, but the auction was withdrawn after the highest bid reached only Rp15,190/kg. Likewise, the Franco Teluk Bayur tender, opened at Rp15,415/kg, was also withdrawn, with the highest bid standing at Rp15,260/kg.
On the derivatives market, benchmark palm oil futures on the Bursa Malaysia Derivatives Exchange continued to trade within a limited range as investors remained cautious over prospects of rising Malaysian output and the lack of a meaningful recovery in export demand.
According to Reuters, the benchmark September 2026 palm oil contract slipped RM10 per tonne, or 0.22%, to RM4,547 per tonne (approximately US$1,113.91) during the midday trading session.
Market participants are now awaiting the Malaysian Palm Oil Board (MPOB) monthly supply and demand report, scheduled for release on July 10, which is expected to provide fresh direction for global palm oil prices in the near term.
Across the broader vegetable oil market, the most-active soybean oil contract on China's Dalian Commodity Exchange gained 0.48%, while Dalian palm oil futures fell 0.32%. Meanwhile, soybean oil futures on the Chicago Board of Trade (CBOT) edged 0.21% higher, reflecting mixed sentiment across global edible oil markets.
The combination of domestic price resilience and cautious international trading underscores the market's focus on upcoming production data and export performance, both of which are expected to shape palm oil price movements in the weeks ahead. (T2)
