Crude palm oil falls by 0.7% on higher supply

Crude palm oil prices drifted 0.68% to Rs 389.40 per 10 kg in futures market today as participants trimmed positions amid higher supplies at spot market against subdued demand.

Crude palm oil for delivery in August declined Rs 2.70, or 0.68% to Rs 389.40 per 10 kg in a business turnover of 100 lots at Multi Commodity Exchange.

Likewise, the oil for delivery in September traded lower by Rs 2.60, or 0.65% to Rs 391.90 per 10 kg in 92 lots.

Analysts said offloading of positions by speculators, triggered by higher supplies from producing regions at spot market against sluggish demand mainly led to fall in crude palm oil prices at futures trade.