FX.co ★ Palm Oil Continues Upward Momentum

Malaysian palm oil futures inched up to around MYR 4,700 per tonne, extending their recent advance as a weaker ringgit and firmer Dalian palm oil contracts improved sentiment. The market also drew support from stronger export activity, with cargo surveyors reporting that July shipments increased by between 12.1% and 19.5% from June.

In India, the world’s largest palm oil importer, edible oil imports rose to a 10‑month high in July as refiners stepped up purchases of palm oil and soyoil to replenish stocks ahead of the festival season amid tightening domestic supplies. In Indonesia, the leading supplier, palm oil exports grew 2.5% year-on-year in the first half of 2026, underscoring steady overseas demand.

Upside momentum was capped, however, by weaker Chicago soyoil futures. Traders also remained cautious ahead of China’s July trade data, which could provide fresh clues on demand from one of the world’s key palm oil consumers. At the same time, a Reuters poll suggested that Malaysia’s palm oil inventories likely climbed to a five‑month high in July, further limiting gains.