Kuala lumpur: Crude palm oil (CPO) futures on Bursa Malaysia Derivatives closed lower on Friday, influenced by softer crude oil prices, a trader stated.

According to BERNAMA News Agency, Fastmarkets Palm Oil Analytics senior analyst Dr. Sathia Varqa indicated that the market has faced pressure since the beginning of the month. The reduced support from crude oil has refocused attention on the underlying fundamentals. At the time of writing, Brent crude saw a decline of 8.59 percent, settling at US$90.85 per barrel.

Market participants are anticipating an increase in Malaysia's CPO production for April, coupled with a reduction in exports, which may lead to higher inventories as production enters a seasonally upward trend. Dr. Varqa noted that export data for April 1-15 suggest weakened demand, with Intertek Testing Services (ITS) reporting a decrease in exports to 609,868 tonnes from 926,602 tonnes between March 1-15. Similarly, AmSpec Agri Malaysia recorded a fall in shipments to 601,401 tonnes from 921,606 tonnes previously.

As of the market close, the May 2026 CPO contract decreased by RM57 to RM4,386 per tonne, June 2026 fell RM54 to RM4,422 per tonne, and July 2026 eased RM45 to RM4,450 per tonne. The August 2026 contract edged down RM38 to RM4,457 per tonne, September 2026 declined RM34 to RM4,449 per tonne, and October 2026 reduced RM29 to RM4,435 per tonne.

Trading volume rose to 91,998 lots from 78,490 lots on Thursday, while open interest reduced to 260,192 contracts from 261,976 contracts the previous day. The physical CPO price for April South decreased by RM30 to RM4,460 per tonne.