Analysts expect Malaysian palm oil prices to fall during H2 as production ramps up

In Malaysia, AmInvestment Bank expects crude palm oil prices to fall to an average of $558.46 per metric ton during the last half of the year as the productive season ramps up, compared to $674.8 during the first half. Only a severe El Niño that significantly hits production levels is seen as a potential bullish price driver. Peak production is expected during September or October. Further demand destruction in China and India could weigh heavily on prices.