MCX CPO down 1% tracking losses on Bursa Malaysia.

The futures contracts of crude palm oil on MCX fell 1% tracking losses on the Bursa Malaysia Derivatives, where futures fell due to weakness in soyoil prices on CBOT. The prices of soyoil and palm oil tend to move in tandem as they are used as alternatives in manufacturing bio-fuel. The most active November contract of crude palm oil on MCX traded at 541 rupees per 10 kg, down 1% from the previous close. A firm ringgit also dragged down the prices of the palm oil on the Malaysian bourse. However, prices are expected to recover in the near term in anticipation of lower crude palm oil production in Malaysia in coming months.