Malaysian palm oil prices fell sharply to below MYR 3,980 per tonne, reversing strong gains from the previous session as weakness in rival Dalian oils and crude oil prices dampened sentiment. A stronger ringgit also pressured prices, making the commodity more expensive for foreign buyers. Meanwhile, Malaysia slashed its July crude palm oil reference price, cutting the export duty to 8.5% from 9.5% in June, the Malaysian Palm Oil Board said.
Still, contracts are on track for their first monthly advance in four, up around 2.2% so far, buoyed by signs of firm export demand. Cargo surveyors estimated shipments of Malaysian palm oil products rose between 6.6% and 6.8% month-on-month from June 1–25. On the global front, trade tensions eased after China pledged to streamline export approvals for controlled goods, while the U.S. plans to roll back some restrictions. Additionally, President Trump suggested that up to 10 new trade deals, including one with India, are in the works.
