Last Friday, Malaysian palm oil futures rose, while palm olein night session closed lower. The MPOA report showed that the August production decline was smaller than expected. The narrowing of the soybean oilpalm oil price spread has weakened export competitiveness. With weak production areas, high domestic inventories, rising arrivals, and subdued consumption, the near-term basis is expected to consolidate on the softer side. Indonesia's drought and the B50 policy constitute medium-to-long-term bullish factors, while seasonal production declines provide underlying support. BMD remains firm, but weak exports limit upside. Increased buying vessels domestically have pushed inventories higher, keeping basis under sustained pressure. Future focus lies on Indonesia's production realization, B50 implementation, and Malaysian palm oil export data.