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Malaysian planters are expected to see continued earnings pressure in 3Q18 as CPO prices and production weaken. MPOB data showed 3Q18 CPO output of 4.98 million tonnes, below expectations, with nine-month output down 2% year on year.
Average CPO selling prices were about RM2,189 a tonne.
Weak output and prices for palm oil cut planter margins and can reduce harvesting and input spending. Spot CPO trading near high-cost production levels signals limited downside for prices.
theborneopost.comeditoronOct 31, 2018Not enough comparable past events yet for a historical read.
Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.
Published on the move date, MPOB data showed weak CPO prices and a Q3 output shortfall, which adds to bearish sentiment and earnings pressure.
Published 2018-10-31, it highlights weak CPO prices and earnings pressure in Malaysia, which reinforced bearish sentiment ahead of the Nov 1 drop, though the output shortfall was mildly supportive.
