JAKARTA (Indonesia Today) – US Federal Reserve’s plan for an aggressive stimulus has yet to impress crude palm oil (CPO) market. The commodity inched up only RM7 to RM2919 per ton for the benchmark November 2012 contracts.
December 2012 contracts also gained slightly to RM2963, while January 2012 contracts to RM2,996 per ton respectively. Spot month price was settled at RM2794 per ton, substantially smaller than September 2011’s average price of RM3,100 per ton.
Plantation shares, however, responded positively the stimulus plan. Wilmar International soared 6% on SGX, while Golden Agri and Indofood Agri gained 3% each. First Resources, Kencana Agri, and Bumitama Agri are also in positive territory.
In Jakarta, Astra Agro Lestari and PP London Sumatra gain more than 4% each, while BW Plantations advanced 2.65%. Bakrie Sumatra Plantations, which was under pressure for several months, gained 3.82%.
In Kuala Lumpur, however, plantation shares moved in narrow range. Sime Darby and IOI COrp, two of giant palm oil producers, gain only 0.11% and 0.59%. (Indonesia Today)