{
  "id": 19432420,
  "title": "High inventories weigh on CPO, but 2027 outlook brightens",
  "url": "https://urgent.news/2026/11/11/high-inventories-weigh-on-cpo-but-2027-outlook-brightens",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-11-11T02:32:45.000Z",
  "source": {
    "name": "New Straits Times",
    "slug": "new-straits-times",
    "url": "https://www.nst.com.my/business/corporate/2026/11/1575163/high-inventories-weigh-cpo-2027-outlook-brightens"
  },
  "original_language": "en",
  "account": "Malaysia's palm oil inventories reached a record high, weighing on the near-term outlook, but analysts remain optimistic about CPO prices by 2027. Inventories grew for the seventh month straight in October, reaching 3.62 million tonnes, up 3.2% month-on-month. Despite the inventory overhang, two banks maintained \"Overweight\" calls on the plantation sector, noting tighter supply conditions and sustained CPO prices. HLIB suggested that export tax waivers could further reduce inventories. Meanwhile, palm oil exports rose 55.7% month-on-month in October, marking their first increase since July. Malaysian palm oil production also increased by 1.8% in October, bringing the first 10 months' output to 16.9 million tonnes. Both firms expect seasonal production declines and potential El Nino impacts to tighten supplies, while stronger biodiesel demand in Indonesia could support prices. CPO prices are currently expected to average RM4,450 per tonne in 2026 and RM4,500 per tonne in 2027. Top stock picks include Sarawak Plantation Bhd and Ta Ann Holdings Bhd, with favorable dividend yields and production growth.",
  "summary": "KUALA LUMPUR: Malaysia's record-high palm oil inventories could continue weighing on the commodity's near-term outlook, although analysts expect tightening supplies, weather-related production risks and stronger biodiesel demand to support crude palm oil (CPO) prices heading into 2027.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}