That represents a decline of roughly 5-6 percent from current prices, especially if governments worldwide hike interest rates and cut back on spending, dragging Brent crude down by 25 percent within six months, said Fry, the head of LMC International.
Fry also presented data showing that if Brent crude held in a range of $76 to $79 a barrel, chances are that palm oil could range between 2,600 and 2,700 ringgit per tonne over the period from March to September.
The London-based analyst often links Brent crude with palm oil, thanks to the growing use of soyoil and rapeseed in the biofuel sector. Palm oil often substitutes for these edible oils in the global food industry, especially in Europe.
