CPO Prices Surge Above RM 4,000 as Market Sentiment Improves

Rebound Driven by Technical Buying and Positive Sentiment

Crude Palm Oil (CPO) prices experienced a significant rebound on December 23, 2025, climbing back above the RM 4,000 per ton psychological threshold. The Malaysian futures price settled at MYR 4,034 per ton at 17:08 WIB, representing a 1.18% increase from the previous day's close.

Market Dynamics and Trader Behavior

According to Lukman Leong, analyst at Doo Financial Futures, the price recovery was primarily driven by technical buying rather than any significant fundamental news. Leong noted that traders perceived prices below RM 4,000 as undervalued, triggering a buying response that pushed prices higher.

Factors Supporting Price Recovery

The rebound in CPO prices was supported by positive market sentiments stemming from biodiesel demand and the strengthening Malaysian Ringgit. These factors combined to create a favorable environment for CPO price recovery, helping to push prices back above the key psychological level of RM 4,000 per ton.

Market Outlook

The current price movement suggests that traders are closely watching key levels for potential trading opportunities. As the market continues to monitor biodiesel demand and currency movements, these factors are likely to remain key drivers of CPO price dynamics in the near term.