MDEX: Palm oil follows crude oil and closes moderately lower on Tuesday.

The June contract of palm oil closed Tuesday's session (9) with a moderate drop of 0.83% in Malaysian Derivatives Exchange (MDEX), quoted at US$ 1,105.50/ton. The July contract fell 0.85%, to US$ 1,114.0/ton. 

In this trading session, prices were pressured by the negative yield of palm oil in Dalian Exchange (DCE), which closed down 1.3%. Soybean oil fell 0.85% on the Chinese index.

Furthermore, prices are also impacted by the price of oil on the international market. The value of this energy commodity was pressured after… Iran and Israel They stated they would halt further attacks following an appeal from the president of… United States, Donald Trump.

Lower fuel prices on the international market make palm oil a less attractive option as biodiesel raw material.

THE Malaysian ringgit It appreciated 0.29% against the dollar, a factor that makes palm oil more expensive for foreign buyers.

Meanwhile, independent cargo inspection companies in Malaysia projected that the country's exports of palm oil derivatives fell between 8.8% and 15.5% in May compared to the previous month. Malaysian Palm Oil Board (MPOB) will report, tomorrow (10), the monthly supply and demand data for the commodity.

This text was translated by machine from Brazilian Portuguese.