Driven by expectations of potentially weaker future production, crude palm oil (CPO) prices are anticipated to trend upward this week.

Palm oil trader David Ng (phonetic translation) stated that traders will closely monitor the flooding situation in Malaysia and the upcoming supply and demand report from the Malaysian Palm Oil Board (MPOB).

"Regarding the flooding, this will depend on weather patterns. However, the floods could support higher commodity prices, and we expect CPO prices to fluctuate between RM5,100 and RM5,250 per tonne," he said.

Over the past week, December CPO futures rose by RM98 to settle at RM5,336 per tonne, while January 2025 futures climbed RM117 to RM5,242 per tonne, and February futures increased by RM108 to RM5,128 per tonne.

Similarly, March CPO futures gained RM80 to RM4,983 per tonne, April futures rose by RM47 to RM4,819 per tonne, and May futures edged up RM22 to RM4,662 per tonne.

Total trading volume rose from 402,631 contracts in the previous week to 441,315 contracts, while open interest increased to 234,629 contracts compared to 227,559 contracts previously.

Meanwhile, the December South Malaysian price rose by RM80 to reach RM5,380 per tonne.