Malaysia consumer - Pulse check – May 2026

Research evidence excerpt

Malaysia consumer - Pulse check – May 2026

Global Markets Research

30 May 2026Malaysia consumer

EQUITY: GENERAL CONSUMER

Pulse check – May 2026 Research Analysts

Malaysia Consumer

Commodity prices soften in May but continued headwinds to margins due Raghavendra Divekar, CFA - NSM

to prolonged conflict in West Asia raghavendra.divekar@nomura.com

+603 2027 6893

Commodity prices soften in May: slight positive for margins of consumer companies Research Associates

After a rise in commodity prices in April largely due to the West Asia conflict tensions and

Malaysia Consumerthe lack of a peace deal in West Asia, commodity prices have softened in May which

Amol Dongre - NSFSPLshould be neutral to slightly positive for the margins of our covered F&B (food and

beverage) companies and consumer products, in our view. According to Bloomberg, c

rude oil prices declined 19% m-m in May. Prices of sugar and corn have declined by 2%

and 4% m-m, respectively, while prices of coffee have also declined 9% m-m. Crude

palm oil (CPO) prices also declined 1% m-m due to weaker Malaysian exports in May.

On the other hand, prices of Soybean meal increased by 4% m-m while wheat stayed flat

m-m. Prices of whole milk powder (WMP) and cocoa have also increased by 3% and

17% m-m, respectively. Egg prices have also declined m-m in May. While crude oil price

continues to be above USD90/barrel, we see the recent decline helping to manage the

sharp cost increases. Moreover, if there is a prolonged US-Iran ceasefire, we could see

crude oil prices decline steadily, which should be positive for the margins of our covered

consumer companies. Declining coffee prices, coupled with declining sugar prices,

should also have a positive impact on the margins of our covered coffee suppliers and

café operators.