Malaysian palm oil futures declined on Wednesday, snapping a two-day winning streak, as a lack of significant market catalysts kept sentiment tepid. The benchmark September contract on the Bursa Malaysia Derivatives Exchange lost 0.09%. Analysts noted range-bound trading due to an absence of major announcements and subdued demand, despite some concerns over El Nino and Middle East developments.
In related markets, Dalian soyoil and palm oil contracts saw minor gains, while Chicago Board of Trade soyoil prices rose 0.69%. Palm oil prices often track rival edible oils and are influenced by crude oil, as it is used for biodiesel feedstock.
Crucially, crude oil extended gains by approximately 1% following reports of the U.S. reimposing a naval blockade on Iranian ports and Iran's Revolutionary Guard Corps threatening to close other export corridors. This rise in crude oil, driven by geopolitical risk, could indirectly support gold as a safe haven and potentially impact Pakistan's import bill, influencing the USD/PKR rate.
بحوالہ / Source: www.brecorder.com