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VEGOILS-Palm oil lifted by strength in soy oil markets
October 23, 2017 / 5:22 AM / 2 months ago

VEGOILS-Palm oil lifted by strength in soy oil markets

    * Palm up on soybean oil strength in Dalian
    * Market cautious ahead of Oct. 1-20 output data - trader
    * SPPOMA data showed Oct. 1-20 production rose 20.6 pct

    By Liz Lee
    KUALA LUMPUR, Oct 23 (Reuters) - Malaysian palm oil futures
climbed 0.6 percent by midday on Monday, tracking gains in
soybean oil and other edible oil contracts on the Dalian
Commodity Exchange. 
    The benchmark palm oil contract for January delivery
 on the Bursa Malaysia Derivatives Exchange rose to
2,758 ringgit ($652.01) a tonne by midday. It had gained 0.7
percent on Friday, although it shed 0.3 percent last week.
    Traded volumes at the midday break on Monday stood at 23,426
lots of 25 tonnes each.
    Traders said the upward movements on rival edible oil
markets have buoyed palm prices.
    "Looks like the market is responding to ... bean oil gains
last week due to a U.S. Environmental Protection Agency (EPA)
decision," said a Kuala Lumpur-based futures trader. 
    The December soybean oil contract on the Chicago
Board of Trade (CBOT) rose 0.98 percent on Friday, after the EPA
retreated from a series of proposed changes to the nation's
biofuels policy that would have reduced demand.
    Palm prices are impacted by movements of related oils as
they compete for a share in the global vegetable oils market.
    "Strong bean oil and Dalian (prices) are holding up the
market now, but sentiment could fall back to being cautious
ahead of Oct. 1-20 production figures from the Malaysian Palm
Oil Association," another trader said. 
    Data from the Southern Palm Oil Millers Association (SPPOMA)
on Monday showed that production for the Oct. 1-20 period rose
20.6 percent, from the same period last year, the trader added. 
  
    The CBOT soybean oil contract dropped 0.2 percent early on
Monday.
    The January soybean oil contract on the Dalian Commodity
Exchange gained 0.7 percent on Monday, while the January
palm olein contract rose 1.5 percent. 
    
 Palm, soy and crude oil prices at 0440 GMT     
 Contract           Month    Last  Change     Low   High  Volume
 MY PALM OIL        NOV7     2741  +17.00    2731   2744     317
 MY PALM OIL        DEC7     2746  +17.00    2731   2746    2505
 MY PALM OIL        JAN8     2758  +17.00    2742   2759    9630
 CHINA PALM OLEIN   JAN8     5630  +84.00    5586   5660  310232
 CHINA SOYOIL       JAN8     6056  +42.00    6036   6090  254278
 CBOT SOY OIL       DEC7    34.09   -0.07   34.04  34.18    3178
 INDIA PALM OIL     OCT7   542.70   -0.40  542.00  544.8      32
 INDIA SOYOIL       NOV7    674.1   +2.20   673.5    676    2100
 NYMEX CRUDE        DEC7    52.10   +0.26   51.98  52.24   18386
 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 = 65.06 Indian rupees)
    ($1 = 6.6305 Chinese yuan)
    ($1 = 4.2300 ringgit) 
    

 (Reporting by Liz Lee; Editing by Tom Hogue)
  
 
 

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