Malaysian palm oil prices plunged around 3% to around MYR 4,000 per tonne, snapping a four-session winning streak. Prices were pressured by losses in rival soyoil at the Dalian and Chicago exchanges and a stronger ringgit. In the broader energy market, oil prices slipped to a one-week low after U.S. President Trump announced a ceasefire between Iran and Israel, easing geopolitical risk premiums.
The contracts were near their lowest level in a month, dragged by reports that India’s soyoil imports may fall 18% from the prior month due to port congestion, signaling weaker short-term edible oil demand. Meanwhile, purchases from key buyer China remained sluggish amid weak economic conditions, while rising inventories and production in May for a third straight month raised concerns over a potential supply glut. Signs of export strength helped cap further losses, with cargo surveyors estimating Malaysian palm oil exports rose 10.9% to 14.3% in the first 20 days of June from a month earlier.
