European palm oil up on higher ringgit, export demand

02/10/2013 (Agri.EU) - Asking prices for palm oil in Europe rose on Tuesday on talk of good export demand and strength in the ringgit, which makes palm oil and products more expensive overseas.

"Palm oil was more expensive due to the ringgit and pending export demand, but with sentiment mostly bearish due to the larger than expected USDA quarterly stocks data, buyers were moving cautiously," one broker said.

Palm oil was offered between $2.50 and $10 a tonne up from Monday on the strength of the ringgit after Malaysian palm oil futures closed between three and 11 ringgit per tonne up as technical buying supported futures, although bearish investor sentiment capped gains.

Jan/March RBD palm olein traded $2.50 up from Monday at $740 and $745 a tonne fob Malaysia and April/June changed hands at $747.50.

At 1630 GMT CBOT soyoil futures were between 0.28 and 0.32 cents per lb down following weakness in soybean futures in a continued sell-off following Monday's larger than expected quarterly soybean stocks. Seasonal harvest pressure and reports of better than expected yields also weighed on soybean futures.

Liquid oils - rapeoil, sunoil and soyoil - were offered between unchanged and seven euros per tonne down from Monday, following the trend in Chicago soyoil and weakness in rapeseed futures on a less tight global oilseed supply outlook.

Nov/Jan EU rapeoil changed hands at 719 and 721 euros per tonne fob exmill, down three euros from Monday.

Lauric oils were offered between unchanged and $10 a tonne up in sympathy with palm oil after Oct/Nov coconut oil traded $10 up from Monday at $960 a tonne cif Rotterdam and Dec/Jan fetched $955. No business was reported in palmkernel oil.
-Reuters-