Lower palm oil production and lower stocks support palm oil futures

In Argentina, Reuters reports Malaysian palm oil futures rose for a fourth straight session on Thursday, boosted by expectations of lower palm production and shrinking domestic stockpiles. The benchmark palm oil contract for January delivery on the Bursa Malaysia Derivatives Exchange was up 18 ringgit, or 0.4 percent, at 4,504 ringgit a metric tonne in midday trading.

The contract had gained 5.33% for three consecutive sessions.

Crude palm oil prices opened higher on Monday on the prospect of lower output and a likely decline in overall stock levels in the country, according to David Ng, a proprietary trader at trading company Iceberg X Sdn Bhd in Kuala Lumpur.