Crude palm oil up 0.91% on spot demand, global cues

Restricted arrivals in Malayasia, the second largest producer, pushed international prices higher

Supported by a firming trend in global markets and rising domestic demand, crude palm oil prices gained 5 to Rs 556.50 per 10 kg in futures trade today.

Trading sentiment bolstered tracking gains in the overseas market on concern that stockpiles in Malaysia, the second-largest supplier after Indonesia, may have declined in May to the lowest level in more than a year.

At the MCX, crude palm oil for delivery in June rose by Rs 5, or 0.91%, to Rs 556.50 per 10 kg in business turnover of 170 lots.

The July contract gained Rs 4.90, or 0.89%, to Rs 556.60 per 10 kg in 415 lots.

Analysts said apart from a rising demand in the spot market, firming trend in global markets mainly pushed up crude palm oil prices at futures trade.

Meanwhile, palm oil for August delivery advanced 2% to $953 a tonne on the Malaysia Derivatives Exchange.