Crude palm oil futures firm at Rs 764.50 per 10 kg on overseas cues

Crude palm oil futures surged to Rs 764.50 per 10 kg on October 1 as participants increased their long position as seen by the open interest. Malaysian palm oil futures gained 3 percent to trade at 2,846 Ringgits on Bursa Malaysia Bhd.

Crude palm oil price gained on bargain buying tracking rally in Soy Oil price yesterday at Chicago Board of Trade (CBOT).

The United States has banned the import of palm oil from Malaysian palm oil producer FGV Holdings Berhad following an investigation into allegations that it had used child workers, along with human rights abuses, Reuters reported.

In the futures market, Crude Palm Oil (CPO) for October delivery touched an intraday high of Rs 768.90 and an intraday low of Rs 760.50 per 10 kg on MCX. So far in the current series, CPO has touched a low of Rs 710.40 and a high of Rs 818.50.

CPO delivery for October gained 9.60, or 1.27 percent at Rs 764.50 per 10 kg at 16:02 hours IST with a business turnover of 4,830 lots.

CPO delivery for November jumped Rs 11.40, or 1.53 percent at Rs 758 per 10 kg with a business volume of 2,021 lots.

The value of October and November contracts traded so far is Rs 173.03 crore and Rs 79.75 crore, respectively.

Kotak Securities expect MCX CPO to trade range-bound with positive bias for today following expected firmness in BMD CPO.