KUALA LUMPUR: Sime Darby Bhd expects crude palm oil prices to average between RM1,900 and RM2,000 per tonne from now until end of next month as this is in line with bearish market sentiment currently.
"Beyond that it is difficult to predict. There are so many factors in the market and was made worst by the equity and currency markets," its president and group chief executive Tan Sri Mohd Bakke Salleh said.
Bakke said the challenging business climate is expected to continue amid an environment of economic stagnation, particularly in the markets where the group operates.
He added that the weak outlook for commodity prices coupled with cautious consumer spending and stricter monetary policies will be some major headwinds that the group is expected to face.