Malaysian palm oil futures surged over 1.5% to above MYR 4,200, largely recovering from a steep 2% drop in the previous session. The rebound was supported by a weaker ringgit and gains in rival Chicago soyoil. A modest rise in crude oil prices after recent losses also lifted sentiment, amid signs of steady demand driven by increased summer travel. In top buyer India, June palm oil imports jumped to an 11-month high as buyers took advantage of lately reduced prices to restock. However, further gains were limited by weaker export expectations.
Cargo surveyors estimated that Malaysian palm oil shipments during the first half of July fell between 5.3% and 6.2% from the same period in June. Meanwhile, industry data showed end-June inventories rose 2.41% to 2.03 million tonnes, the highest in 18 months. At the same time, the market outlook remained clouded by uncertainty over potential U.S. tariffs and ongoing weather-related risks.
