Palm oil stocks continue recent run up, with Golden Agri-(E5H.SG) +2.2% at $0.705 in active trade, stock +16.5% since Monday, perhaps given extra help by news of constructive dialogue with Roundtable on Sustainable Palm Oil; gains in peers suggest crude palm oil price outlook continues to be main driver.

CPO already at 27-month highs going into seasonally strong 4Q (when rains affect production); Indofood Agri (5JS.SG) +2.6% at $2.72, Kencana Agri (F9M.SG) +2.4% at $0.425, Wilmar (F34.SG) +1.4% at $6.69; OCBC recently raised its CPO price forecasts; ups FY10, FY11 forecasts to average US$825/ton, US$860/ton respectively (vs US$800/ton previously). CIMB notes potential upside to its CPO price forecasts from rising supply risks; says bullish view on CPO prices mid-term could provide stock catalysts.