# Malaysian palm oil price hits over 18-month high on lower output expectations | The Star

> Malaysian palm oil futures rose over 3% to an 18-month high on expectations of lower production. The benchmark January contract closed 3.4% higher at 2,498 ringgit per ton. Gains were capped by a stronger ringgit, and Dalian palm oil also traded at record levels.

- Date: 2019-10-30 · published 2019-10-30T12:00:00.000Z
- Category: market · region Malaysia · magnitude low
- Page: https://feedsoft.ai/events/4286-malaysian-palm-oil-price-hits-over-18-month-high-on-lower-output-expectations
- Commodities: [Palm Oil](https://feedsoft.ai/c/PALMOIL.md), [Soybean Oil](https://feedsoft.ai/c/SBO.md)

## Why it matters

Expectations of lower palm output tighten the vegetable oil supply outlook and support prices for oil-based feed ingredients. Strength on the Dalian exchange signals firm Chinese demand.

## Read by commodity

- SBO: bullish ▲
- PALMOIL: bullish ▲

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| PALMOIL | 2019-11-04 | 5 | +13.0% | 6.4 | Futures hit an 18-month high on lower output expectations, which is direct supply-driven price momentum within the window. |
| PALMOIL | 2019-10-31 | 1 | +9.2% | 15.4 | Futures jumped over 3% to an 18-month high on 2019-10-30 on lower output expectations, directly part of the rally leading into the 2019-10-31 move. |
| PALMOIL | 2019-11-01 | 1 | +9.2% | 13.1 | Futures hit an 18-month high on lower output expectations just before the window, showing the supply-driven momentum that carried into the 1-day move. |
| PALMOIL | 2019-11-06 | 5 | +14.0% | 5.9 | Palm hit an 18-month high on lower output expectations, part of the momentum leading into the window. |

## Sources

- thestar.com.my: https://www.thestar.com.my/business/business-news/2019/10/31/malaysian-palm-oil-price-hits-over-18-month-high-on-lower-output-expectations

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.