July 13th, BMD crude palm oil futures fell on Thursday, mainly because Chicago soybean oil futures fell after the US Department of Agriculture released a supply and demand report overnight.
A stronger ringgit also weighed on palm oil. On Wednesday, Indonesia raised the palm oil reference price for the second half of July to US$791.02 per ton, and the export tax was raised accordingly to US$118 per ton.
This could help improve demand for Malaysian palm oil exports. At present, horse palm oil is still under pressure from the influence of surrounding markets. Relatively speaking, the drought in Canadian rapeseed producing areas has not been alleviated, and the high temperature and less rainy weather may have an impact on Canadian rapeseed production.
On the domestic side, the trend of oils and fats in the internal market more follows the movement of international oils and fats. However, due to the difference in domestic inventory expectations, this makes vegetable oil relatively strong and continues to lead the rise in oils, while palm oil is slightly weaker. The trend of variety differentiation continues, and the price difference between vegetable oil and other oils continues to expand, and short-term swing operations are appropriate.
