April 9, 2018 / 5:07 AM / 2 months ago

VEGOILS-Palm declines on profit-taking, weaker overnight U.S. soyoil

    * Palm falls after three earlier winning sessions
    * Stronger ringgit also weighs on palm - trader
    * Official Malaysia data release scheduled for April 10

    By Emily Chow
    KUALA LUMPUR, April 9 (Reuters) - Malaysian palm oil futures
fell on profit-taking on Wednesday after three sessions of gains
while a stronger ringgit and overnight losses in U.S. soyoil on
the Chicago Board of Trade also weighed.
    The benchmark palm oil contract for June delivery
on the Bursa Malaysia Derivatives Exchange fell 1 percent to
2,480 ringgit ($642.32) a tonne at the midday break, its
sharpest fall in three weeks.
    Palm had hit a five-week high in the previous session after
Malaysia announced it would extend tax exemptions on crude palm
oil (CPO) exports to a fourth straight month in April.

    Trading volumes stood at 13,422 lots of 25 tonnes each at
    "We're seeing some profit-taking after palm's last session,
which was overdone on the upside, and ahead of the Malaysian
Palm Oil Board report due tomorrow," said a Kuala Lumpur-based
futures trader.
    The Malaysian industry regulator is scheduled to release
official data on palm oil's March stockpiles, production and
exports after 0430 GMT on Tuesday.  
    End-stocks in Malaysia are forecast to have declined 8.6
percent from February to 2.27 million tonnes, while exports are
seen rising to 19.3 percent on-month to 1.57 million tonnes,
according to a Reuters poll.
    Meanwhile, production is seen up 11.3 percent to 1.49
million tonnes in March. 
    The trader also added that weaker overnight soyoil on the
Chicago Board of Trade and a stronger ringgit also
weakened palm oil prices on Monday.
    A stronger ringgit, palm's currency of trade, typically
makes the edible oil more expensive for foreign buyers. The
ringgit slightly strengthened against the dollar in early trade
on Monday, rising 0.2 percent to 3.8610 per dollar around noon.
    In related oils, the Chicago Board of Trade's May soybean
oil contract declined 0.8 percent on Friday, but was
last up 0.3 percent on Monday. 
    The May soybean oil on China's Dalian Commodity Exchange
 jumped 2.1 percent, while the Dalian May palm oil
contract rose 1.4 percent. 
    Palm oil prices are impacted by movements in rival edible
oils as they compete for a share in the global vegetable oils
    Palm, soy and crude oil prices as of 0450 GMT
 Contract          Month    Last   Change     Low   High  Volume
 MY PALM OIL       APR8        0    +0.00       0      0       0
 MY PALM OIL       MAY8     2480   -29.00    2480   2497     386
 MY PALM OIL       JUN8     2480   -25.00    2479   2498    7151
 CHINA PALM OLEIN  SEP8     5224   +96.00    5202   5350  250662
 CHINA SOYOIL      SEP8     6056  +120.00    6020   6198  492364
 CBOT SOY OIL      MAY8    31.63    +0.10    31.5  31.75    9186
 INDIA PALM OIL    APR8   651.70    -3.10  651.00  653.5      79
 INDIA SOYOIL      APR8    780.7    -0.40   780.7    783     220
 NYMEX CRUDE       MAY8    62.31    +0.25   61.93  62.36   34164
  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 = 3.8610 ringgit)
($1 = 64.8900 Indian rupees)
($1 = 6.2977 Chinese yuan)   

 (Reporting by Emily Chow; Editing by Sunil Nair)
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