Trader's Comment: CPO futures plunged further to seventeen month low to 2077(3rd month Dec08) pressured by crude oil again

CPO futures plunged further to seventeen month low to 2077(3rd month Dec08) pressured by crude oil again. Crude oil prices slide to as low as USD 91.54 a barrel for Oct08 contract in NYMEX’s Asian time zone. Plunging financial market amid pullout from news investment bank Lehmann Brothers filed for bankruptcy and insurer AIG struggled for survival had caused the slump in equity market and gloomy world economy also depress the market sentiment. Financial and commodities market sentiment are weak and gloomy and looks like the weak sentiment will continue in the near term. New benchmark Dec08 opened with RM69 gap down at 2171 and continue to slide and tumble to 2077. Then, prices recovered to hover between 2100 to 2140 before it settled RM129 lower at 2120. Total daily volumes were good with 16,473 contracts changed hands.