A potentially strong El nino phenomenon could provide additional support to crude palm oil prices, MBSB Research says in a note. Weather-related production risks have historically led to firmer palm oil prices as markets price in tighter supply, it says. It expects dry weather to tighten palm oil supply, with the full impact on fresh fruit bunch yields likely to emerge in 2027 due to the crop's biological lag. MBSB remains tactically positive on the Malaysian plantation sector, and pegs SD Guthrie, TA Ann and Sarawak Plantation as top picks. (yingxian.wong@wsj.com)
Strong El Nino Risk Could Support Palm Oil Prices — Market Talk
Earlier from Sarawak Plantation Bhd
- Sarawak Plantation May Crude Palm Oil Production 8,835.13 Metric Tonne
- Sarawak Plantation Posts Q1 Revenue 105.18 Million RGT
- Sarawak Plantation Posts April Fresh Fruit Bunches Production Of 31,051.68 Metric Tonne
- Sarawak Plantation Posts Mar Fresh Fruit Bunches Production 27,557.27 Metric Tonne