Kuala lumpur: The crude palm oil (CPO) futures contract on Bursa Malaysia Derivatives is anticipated to exhibit a downward bias in the coming week, primarily due to profit-taking activities following a recent surge in prices.

According to BERNAMA News Agency, Interband Group of Companies senior palm oil trader Jim Teh highlighted that the palm oil stock for June remains high, approximately two million tonnes. This surplus is likely to result in prices trading within a narrow range of RM3,800 to RM3,900 per tonne next week. Teh noted that physical demand for palm oil is expected from regions such as China, India, Pakistan, the Middle East, and European countries.

Similarly, palm oil trader David Ng pointed out that the increased output and stock levels of CPO in Malaysia will be the focal point for the market next week. He mentioned that Russia's decision to suspend export duties on sunflower oil might temporarily influence CPO prices. Ng predicted that prices would fluctuate between RM4,150 and RM4,300 per tonne in the upcoming week.

On a weekly basis, the August 2025 contract decreased by RM41 to RM4,221 per tonne, while the September 2025 contract fell by RM51 to RM4,258 per tonne. The October 2025 contract also dropped by RM42 to RM4,273 per tonne. The November 2025 contract saw a slight decline of RM22 to RM4,283 per tonne, whereas December 2025 remained consistent with last week at RM4,290 per tonne. The January 2026 contract experienced a gain of RM15, reaching RM4,290 per tonne.

The weekly trading volume decreased to 385,858 lots from 555,657 lots in the previous week. Open interest also reduced to 229,303 contracts from 237,735 contracts. Additionally, the physical CPO price for July South decreased by RM60, settling at RM4,230 per tonne.