Malaysia's Crude Palm Oil Futures Expected to Rise Wednesday as Brent Crude Rebounds

According to reports, Malaysia's crude palm oil futures are expected to open higher on Wednesday (June 10), supported by a rebound in Brent crude oil and gains in Chicago soybean oil following a pullback on Tuesday. Although crude briefly hit a seven-week low after Iran and Israel agreed to halt mutual attacks under Trump's mediation, prices recovered after Iran downed a U.S. Apache helicopter patrolling the Strait of Hormuz, with Trump threatening retaliation.

Higher crude prices could boost biodiesel demand. Malaysia launched B15 biodiesel on June 1, and Indonesia will implement a B50 biodiesel program starting July 1, expected to increase domestic palm oil consumption. However, weak export demand and a stronger ringgit may limit upside gains.