According to the Commodity Market Analysis System of Shengyi Society, the domestic palm oil market continued to decline since mid May, with a drop of over 2%. On May 14th, the average market price of palm oil was 8680 yuan/ton, and on May 19th, the average market price of palm oil was 8502 yuan/ton, a decrease of 2.05% in price.
Negative led domestic palm oil market continues to weaken
In mid May, the main producing country of Malaysian palm oil was still in a production increase cycle. According to data released by MPOA, from May 1st to 10th, the palm oil production in South Malaysia increased by 22.31% month on month. The external market is mainly bearish, and the palm oil market is declining. The domestic palm oil futures market followed suit and fell, while the palm oil spot market showed weak upward momentum. As of May 19th, the average price of palm oil in the market has dropped to 8502 yuan/ton, a decrease of about 100 yuan/ton compared to the beginning of the month.
The palm oil analyst from Shengyi Society believes that at the end of May, as the weather warms up and the demand for terminal oils decreases, the external market is still in a production increase cycle, and the palm oil market will continue to decline in the future.