Trader's Comment: CPO futures recouped some of its earlier losses on better export data to ends off low

CPO futures recouped some of its earlier losses on better export data to ends off low. Initially, Benchmark Feb09 opened RM38 lower at 1441 tracking overnight lower crude oil in NYMEX and easier rival soy oil in CBOT. Prices slid to hit intra day low at 1428 and hovered mostly between 1435 to 1450 through out most of the session. Basically, market was supported by better 1-20 export numbers released by both private cargo surveyors. News that Malaysia palm oil stocks may decline due to bad weather, coupled with government’s move to push for more bio-diesel and replanting scheme had prompted short covering activities emerged in late trading. This sent prices rebounding to settle at intra day high at 1468.