Singapore Stock Market News

Regional Plantation - Weak Demand Capping Price Upside

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Publish date: Mon, 02 Jul 2018, 10:26 AM
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CPO prices still have room to go lower on higher output and lower demand. India's vegetable oils imports could decline due to higher domestic output as well as lower domestic demand, as the depreciating rupee could result in imports becoming more expensive. Palm oil has lost market share to soybean oil and sunflower oil due to narrowing price discounts. We reckon CPO prices will continue to trade at RM2,250- 2,600/tonne until 1H19. Maintain MARKET WEIGHT.
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