# Palm surges on Middle East conflict, records highest weekly gain in 16 months - Markets - Business Recorder

> Malaysian palm oil futures closed higher on Friday, with the December Bursa Malaysia contract rising 2.94% to 4,305 ringgit a metric ton and recording a weekly gain of 6.27%, the largest since June 2023. The rally followed a widening Middle East conflict that lifted crude oil prices. Soyoil in Chicago also rose slightly.

- Date: 2024-10-04 · published 2024-10-04T12:00:00.000Z
- Category: geopolitics · region Malaysia · magnitude medium
- Page: https://feedsoft.ai/events/7764-palm-surges-on-middle-east-conflict-records-highest-weekly-gain-in-16-months
- Commodities: [Palm Oil](https://feedsoft.ai/c/PALMOIL.md), [Soybean Oil](https://feedsoft.ai/c/SBO.md), [Crude Oil (WTI)](https://feedsoft.ai/c/WTI.md), [Crude Oil (Brent)](https://feedsoft.ai/c/BRENT.md)

## Why it matters

Higher crude oil makes palm oil more attractive as a biodiesel feedstock, pulling demand and pushing prices up. Palm also traded at a premium to soyoil and sunflower oil, supporting the wider vegetable oil complex used in feed fats.

## Read by commodity

- SBO: bullish ▲
- WTI: bullish ▲
- BRENT: bullish ▲
- PALMOIL: bullish ▲

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| PALMOIL | 2024-10-07 | 5 | +9.3% | 4.1 | Palm posted its largest weekly gain in 16 months (6.27%) as the widening Middle East conflict lifted crude oil, which strengthens palm's biodiesel and energy-linked demand, directly covering most of the move window. |
| PALMOIL | 2024-10-04 | 5 | +9.1% | 4.5 | Oct 4 palm surge of 2.94% and a 6.27% weekly gain, the largest since June 2023, on Middle East conflict lifting crude oil, directly matches the 5-day move. |
| BRENT | 2024-10-07 | 5 | +13.0% | 3.2 | Describes the widening Middle East conflict lifting crude oil during the week of Oct 4, confirming the sustained geopolitical driver, though it is palm-focused and a downstream indicator of the crude move. |

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| PALMOIL | 2022-11-01 | [Palm oil surges nearly 5% on worries over Black Sea supplies - Markets - Business Recorder](https://feedsoft.ai/events/8072-palm-oil-surges-nearly-5-on-worries-over-black-sea-supplies-markets-business.md) | +13.1% | +9.0% |
| PALMOIL | 2022-02-23 | [Palm hits all-time high on supply concerns due to Ukraine crisis - Markets - Business Recorder](https://feedsoft.ai/events/42798-palm-hits-all-time-high-on-supply-concerns-due-to-ukraine-crisis-markets.md) | +15.0% | +10.6% |
| PALMOIL | 2023-07-24 | [Palm oil up over news on Ukraine port attack - Markets - Business Recorder](https://feedsoft.ai/events/11937-palm-oil-up-over-news-on-ukraine-port-attack-markets-business-recorder.md) | +0.1% | -3.3% |
| PALMOIL | 2022-10-31 | [Palm rises over 4% after Russia pulls out of Black Sea export corridor - Markets - Business Recorder](https://feedsoft.ai/events/8074-palm-rises-over-4-after-russia-pulls-out-of-black-sea-export-corridor-markets.md) | +11.7% | +9.1% |
| PALMOIL | 2026-10-01 | [Global vegetable oil prices seen rising on tighter supply, says analyst Mielke - Markets - Business Recorder](https://feedsoft.ai/events/17180-global-vegetable-oil-prices-seen-rising-on-tighter-supply-says-analyst-mielke.md) | -0.4% | +2.2% |
| SBO | 2022-11-01 | [Palm oil surges nearly 5% on worries over Black Sea supplies - Markets - Business Recorder](https://feedsoft.ai/events/8072-palm-oil-surges-nearly-5-on-worries-over-black-sea-supplies-markets-business.md) | +4.0% | +0.2% |
| SBO | 2022-02-23 | [Palm hits all-time high on supply concerns due to Ukraine crisis - Markets - Business Recorder](https://feedsoft.ai/events/42798-palm-hits-all-time-high-on-supply-concerns-due-to-ukraine-crisis-markets.md) | +3.8% | -0.7% |
| SBO | 2023-07-24 | [Palm oil up over news on Ukraine port attack - Markets - Business Recorder](https://feedsoft.ai/events/11937-palm-oil-up-over-news-on-ukraine-port-attack-markets-business-recorder.md) | +3.6% | -1.3% |

## Sources

- brecorder.com: https://www.brecorder.com/news/40325507

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