Trader's Comment: CPO futures ended lower in choppy trade

CPO futures ended lower in choppy trade. Benchmark Feb09 initially it opened RM24 lower at 1608 but managed to recover and rebounded to hit intra day high at 1675 in the morning session due to spilled over commercial buying interest from the underlying cash market. However, lack of follow through buying coupled with a not so exciting export data released by private cargo surveyor (market players expectations ranging from 1.37 to 1.40 million tonnes) prompted the price to ease and slide to close at 1635 for the lunch break. Selling pressure continue in the afternoon session following an easier NYMEX crude oil prices trading in Asian time, which sent prices tumbled to 1597 in late trading before it rebounded to settle RM4 lower at 1628. Market appear to look for a range to consolidate in near term after last week’s strong rebound.