On Thursday, May 6, Malaysian palm oil futures prices fell, ending the previous four consecutive trading days of upward trend. The main reason was the weakening of soybean oil prices in Chicago, which weighed on the palm oil market. However, strong export data from Malaysia limited the decline to some extent.

The benchmark palm oil contract for July delivery on the Bursa Malaysia Derivatives Exchange closed down 61 ringgit, or 1.55 percent, at 3,862 ringgit per ton, or about $902.34. The weak trend in soybean oil prices on the Chicago Board of Trade affected sentiment in the overall vegetable oil market, and investors adjusted their long positions as a result, pressurizing palm oil prices to the downside.

However, the bright performance in terms of export data provided some support. According to shipping survey agency data, Malaysia's palm oil exports in the first two weeks of May increased significantly year-on-year, reflecting international demand remains stable. Market participants are watching the purchasing trends of major consuming countries such as Indonesia and India, while also assessing the potential impact of weather factors on production.

Overall, although the short-term price adjustment, but the fundamentals are still there to support the direction of the market will be subject to external market volatility and export performance together.