Palm Oil Market in November Experiences Volatile Decline

November 26 news

According to the commodity market analysis system: In November, China's palm oil market showed a weak trend, with prices fluctuating and decreasing by over 3%. On November 1, the average market price of palm oil was 8,818 CNY/ton, and on November 26, it decreased to 8,470 CNY/ton, a drop of 3.95%.

Bearish factors weigh on palm oil prices, causing them to fluctuate and decline in November.

Since November, the external market for Malaysian palm oil has seen mixed trends. Among these, the estimated production of Malaysian palm oil has increased, with the output in South Malaysia from October 1-31 growing by 5.55% compared to the previous month. The export of Malaysian palm oil remains strong, and the external market is experiencing a mix of bullish and bearish factors. The Chinese palm oil futures market has been fluctuating downward in line with the external market, while the spot market has seen alternating increases and decreases, generally operating in a weak state. As of November 15, the average market price of palm oil was 8,690 CNY/ton, a decrease of 100 CNY/ton.

After mid-month, Malaysia's palm oil exports declined. According to data, from November 1st to 20th, Malaysia's palm oil export volume fell by between 14.1% and 20.5% compared to the previous month. Overseas palm oil prices have slumped, while China's palm oil market has shown weak rebound efforts, with downward trends prevailing. As of November 26th, the average price in the palm oil market dropped to 8,470 CNY per ton, a decrease of more than 300 CNY per ton from the beginning of the month—representing a decline of nearly 4% compared to the start of the month.

Palm oil analysts believe: In December, the rigid demand for terminal oils in China will boost the market, and with positive external factors, the palm oil market may see a rebound in the future.