CPO PRICE MAY 04: Rebounded In The Early Trade, Up By 0.32%

The July 2016 CPO futures contract, the most actively traded contract on Bursa Malaysia, opened up 0.32% or 8 points at a price of RM2,547 per ton at the start of trading.

The price of the commodity rose slightly by 0.04% or 1 point to RM2.540 per ton at 09.59 WIB. The price of CPO successfully rebounded this morning after a continuous decline for the past four trading days.

Yesterday (Tuesday, May 3, 2016), the price of CPO closed significantly down 2.08% or 54 points to RM2,539 per ton, continuing the decline in the morning.

Meanwhile, the ringgit exchange rate was seen to weaken against the US dollar in the Asian spot market. The Malaysian currency depreciated sharply by 1.16% to RM3.98 per US dollar.

As reported by Bloomberg today, the Malaysian ringgit fell to a two-month low following a statement by President of the Federal Reserve Bank of Atlanta Dennis Lockhart, who indicated the certainty of an interest rate increase in June.

The statement triggered the rebound of the US dollar from its lowest level with the increase of the Bloomberg Dollar Spot Index from its lowest level in a year.

Price Movements of July 2016 CPO Contract