Posted by calvintaneng > 2017-08-07 14:40 | Report Abuse

Calvin thinks Hong Leong missed these points:

1) At Rm2,500 a tonne all Oil Palm Companies are already making good monies.

2) US Drought is ongoing & can spread as Drought is not static.http://www.motherjones.com/environment/2017/08/climatedesk-forget-flash-floods-flash-droughts-are-even-more-terrifying/

3) Europe might impose restriction but don't forget China is an ally of Malaysia. So China might step up imports of Palm Oil from Malaysia

4) India, even if they tax CPO, CPO is still the cheap vege oil around. And poorer people of India, Pakistan, Bangladesh & others still need lower cost Palm Oil

5) Palm Oil has added income as Palm husk it is now being made into poultry feed.

6) Since Crude Oil already up it will pull up biodiesel usage. Right now Indonesia has increased biofuel consumption. And Indonesia has a huge population

7) Not all arm chair analysts are right on their buy/sell/hold calls. Last time TA Research called for a sell on RceCap. It was a call Calvin Tan Research opposed.
RceCap made 100% for Calvin & Johor Buddies when price more than doubled.

8) Another important note. Hengyuan share price chased up because of higher Crude Oil prices which translate to higher profit. So Biofuels will also benefit from Crude Oil price rise. So more conversion of Palm Oil into biodiesel oil means more profit for Oil Palm growers.

This is a great opportunity for arbitrage on Crude Oil price rise.

Posted by Junichiro > 2017-08-07 14:52 | Report Abuse

Hi Calvin, today's Edge stated that higher crude oil prices means higher cost of feedstock for the refiners.

Both the refiners are relatively unaffected as the price of crude oil is still considered low. Both of their shares are already cornered n if those big players do not throw, they can still march up. Both have small trading volume.

Posted by calvintaneng > 2017-08-07 19:25 | Report Abuse

Junichiro,

For now i am only bullish in what others are still bearish.

Say Jaks for example. I was bullish on Jaks while others were still bearish. And when others turned bullish on Jaks i started to turn bearish.

Sifu Warren Buffet told me to be greedy when others are fearful and to be fearful when others are greedily buying.

And since most are bearish on palm oil stocks i told all my friends and buddies to load up kaw kaw on cheap cheap palm oil stocks NOW!!