A survey estimated that Malaysia’s palm oil inventories reached a record 3.785 million tonnes at the end of October, up 6.8% from the previous peak recorded in September. The report said the stock build points to ample supply and could pressure spot prices and nearby futures.
Record inventories indicate that supply is outpacing near-term absorption, increasing pressure on palm oil prices. This is a bearish signal for the market.
After 96 past bearish report events, Palm Oil moved a median -0.1% over 5 sessions (48% higher; middle half -1.3% to +1.6%), and -0.9% over 20.
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.