Crude palm oil falls by 0.5% on adequate stocks

Crude palm oil prices drifted 0.50% to Rs 420.10 per 10 kg in futures trade today as participants reduced positions, triggered by ample stocks at spot market amid muted demand.

At the Multi Commodity Exchange, crude palm oil for delivery in far-month January eased by Rs 2.10, or 0.50% to Rs 420.10 per 10 kg in business turnover of 74 lots.

In a similar fashion, the oil for delivery in December contracts traded lower by Rs 1.70, or 0.42% to Rs 407.90 per 10 kg in 74 lots.

Analysts said offloading of positions by speculators on the back of adequate stocks on higher supplies from producing regions in the physical market against subdued demand led to decline in crude palm oil prices at futures trade.