Reuters logo
a month ago
VEGOILS-Palm in line for 4th day of gains on Dalian strength, falling output
July 6, 2017 / 5:47 AM / a month ago

VEGOILS-Palm in line for 4th day of gains on Dalian strength, falling output

    * Palm hits over one-month top of 2,559 rgt/T
    * Market gains not seen sustaining-Trader
    * Palm may touch 2,551 rgt/T before reversing uptrend-Techs

    By Emily Chow
    KUALA LUMPUR, July 6 (Reuters) - Malaysian palm oil futures
rose to their highest in over a month in early trade on
Thursday, in line for a fourth consecutive day of gains,
tracking strength in related edible oils on China's Dalian
Commodity Exchange.
    Forecasts of falling production also lent support, traders
said. A Reuters poll had forecast production to fall to 1.62
million tonnes in June, down 2.1 percent from the previous
month.
    End-stocks however are seen up 0.2 percent to 1.56 million
tonnes, while exports are likely to drop 8.2 percent to 1.38
million tonnes on-month.    
    The benchmark palm oil contract for September delivery
 on the Bursa Malaysia Derivatives Exchange was up 0.7
percent at 2,555 ringgit ($594.60) a tonne at the midday break.
    It earlier climbed to 2,559 ringgit, its highest since May
26. Traded volumes stood at 14,430 lots of 25 tonnes each.
    "The market is up on Dalian strength. There is also
short-covering on production figures," said a futures trader
based in Kuala Lumpur.
    "The market will most likely come down later because the
gains are overdone."
    While palm oil production is seen rising during the second
half of the year in line with the seasonal trend, June output is
seen falling due to the Ramadan and Eid-al-Fitr holidays as
plantation workers go on leave.
    June data for Malaysia's palm oil inventories, production
and exports is scheduled for release by the Malaysian Palm Oil
Board on July 10.
    Palm oil prices are also impacted by movements in related
edible oils, as they compete for a share in the global edible
oils market. 
    September soybean oil on the Dalian Commodity Exchange
 was up 0.7 percent, while the September palm olein
 contract rose 1.8 percent.
    In other related oils, soybean oil on the Chicago
Board of Trade was down 0.6 percent.
    Palm oil may briefly touch a resistance at 2,551 ringgit per
tonne before reversing its uptrend and falling towards 2,522
ringgit, said Wang Tao, a Reuters market analyst for commodities
and energy technicals.
                   
  Palm, soy and crude oil prices at 0534 GMT
 Contract          Month    Last  Change     Low    High  Volume
 MY PALM OIL       JUL7     2684  +14.00    2670    2688      84
 MY PALM OIL       AUG7     2605  +22.00    2589    2607    1239
 MY PALM OIL       SEP7     2555  +17.00    2540    2559    6448
 CHINA PALM OLEIN  SEP7     5418  +98.00    5342    5442  486670
 CHINA SOYOIL      SEP7     5986  +40.00    5952    6026  364534
 CBOT SOY OIL      DEC7    33.52   -0.17   33.43   33.71    4674
 INDIA PALM OIL    JUL7   485.90   +1.00  484.00   486.1     192
 INDIA SOYOIL      JUL7      643   -2.90   642.9  644.35    2190
 NYMEX CRUDE       AUG7    45.43   +0.30   45.20   45.78   37226
 Palm oil prices in Malaysian ringgit per tonne
 CBOT soy oil in U.S. cents per pound
 Dalian soy oil and RBD palm olein in Chinese yuan per tonne
 India soy oil in Indian rupee per 10 kg
 Crude in U.S. dollars per barrel
 
($1 = 4.2970 ringgit)
($1 = 64.7650 Indian rupees)
($1 = 6.8020 Chinese yuan)    

 (Reporting by Emily Chow; Editing by Sunil Nair)
  
 
 

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below