Brent crude oil responded negatively UK’s decision to leave European Union with 3.83% fall to US$49 per barrel Friday (June 24), while WTI light sweet crude fell to US$48.2 per barrel. Metals, however, were mixed with gold gaining 4.3% to US$1315 per ounce, while aluminium down 0.53%.

Plantation firm Tunas Baru Lampung (TBLA) has just released its audited financial statement for the period ended March 31, 2016, where the Company booked net profit of Rp65 billion, down 21.5% from the same period of 2015 due to falling sales revenue and squeezed margins. The Company is currently preparing the issuance of third bonds to refinance its existing debentures.

The benchmark September 2016 contracts of crude palm oil fell RM28 to RM2372 per ton on the Bursa Malaysia Derivatives Wednesday (June 22) as market participants anticipated higher palm oil production in the second half. How further down the commodity depends on lots of factors, including movement of crude oil, weather pattern, and output of the competing vegetable oils.

Acquisition of ConocoPhillips and Chevron’s interest in the South Natuna Sea Block B oil and gas block has reportedly entered final stage. Three companies are competing for ConocoPhillips’ 40 percent operating interest in the block.

BHP Billiton, one of the largest coal producers, has decided to sell its metallurgical coal assets in Indonesia to local partner Adaro Energy (ADRO) following a strategic review. The divestment, however, doesn’t change BHP Billiton’s outlook of coal for both thermal and metallurgical coal.

Crude palm oil (CPO) retreated significantly from its recent high in the past few weeks as market participants anticipate higher output in the second half. Investors also responded corrections in crude oil and competing soybean oil. Late last week, we had a chance to discuss market issues and specific company issues with Andrew Michael Vincent, director of Gozco Plantations (GZCO), one companies listed on IDX.

Recent correction of crude oil by around 10% delays potential recovery of thermal coal despite continuous efforts from US and China to cut their production. Production cuts, supply disruptions, and increased demand were deemed supporting factors for the return of all major benchmark thermal coal prices to above US$50 per ton last week.

The benchmark August 2016 contracts of crude palm oil (CPO) dropped significantly by RM55 to RM2525 per ton on the Bursa Malaysia Derivatives Monday (June 13) as investors responded the retreat of crude oil from its recent high and anticipated higher fresh fruit bunch (FFBs) in the second half of the year.