MARKET DEVELOPMENT
VEGOILS-Palm Oil Ends Lower on Technical Correction
VEGOILS-Palm Oil Ends Lower on Technical Correction
(Refiles to fix formatting)
* Prices end lower after rising to highest since Nov. 5
* Indonesia's palm oil output seen 11 pct lower in Oct-Reuters survey
13/11/2014 (Reuters) - Malaysian palm oil futures ended lower on Wednesday, giving up some gains made in the morning session when it had touched a week high, after a bout of technical correction pressured prices of the tropical commodity.
"There was short-term technical weakness and correction after rising over the last two days," said a trader with a foreign commodities brokerage in Kuala Lumpur.
The benchmark January contract on the Bursa Malaysia Derivatives Exchange was down 0.2 percent to 2,260 ringgit ($679) per tonne by Wednesday's close. Prices had touched their highest since Nov. 5 at 2,286 ringgit in early trade before slipping.
Total traded volume stood at 41,671 lots of 25 tonnes, above the usual 35,000 lots.
Crude palm oil output in world's top grower Indonesia fell around 11 percent to 2.385 million tonnes in October, a Reuters survey of leading industry officials showed, with production hampered by dry weather across plantations.
Brazil's government crop supply agency Conab on Tuesday forecast a 2014/15 soybean crop of between 89.3 million tonnes and 91.7 million tonnes, still a record, but below market estimates that have gone as high as 98 million tonnes.
In competing vegetable oil markets, the U.S. soyoil contract for December gained 0.6 percent in late Asian trade, while the most active May soybean oil contract on the Dalian Commodities Exchange climbed 1.4 percent.
Investors are also keeping a close watch on crude oil's sell-off, which could lower palm's demand for biodiesel use.
Brent crude slipped near $81 a barrel on Wednesday, close to a four-year low as a mounting oil glut created by the U.S. shale boom continued to outweigh concerns about supplies from Libya.
Palm, soy and crude oil prices at 1032 GMT
Contract Month Last Change Low High Volume
MY PALM OIL NOV4 2220 -20.00 2219 2260 20
MY PALM OIL DEC4 2247 -20.00 2242 2280 1700
MY PALM OIL JAN5 2260 -6.00 2257 2286 23412
CHINA PALM OLEIN MAY5 5420 +46.00 5380 5450 941992
CHINA SOYOIL MAY5 5988 +80.00 5982 6018 455254
CBOT SOY OIL DEC4 33.10 +1.30 32.87 33.21 7460
INDIA PALM OIL NOV4 451.70 +1.30 450.60 454.40 902
INDIA SOYOIL NOV4 585.65 -0.30 584.50 588.40 3550
NYMEX CRUDE DEC4 77.24 -0.70 77.10 77.62 23164
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 = 3.33 Malaysian ringgit)
($1 = 6.1262 Chinese yuan)
($1 = 61.49 Indian rupee)
* Prices end lower after rising to highest since Nov. 5
* Indonesia's palm oil output seen 11 pct lower in Oct-Reuters survey
13/11/2014 (Reuters) - Malaysian palm oil futures ended lower on Wednesday, giving up some gains made in the morning session when it had touched a week high, after a bout of technical correction pressured prices of the tropical commodity.
"There was short-term technical weakness and correction after rising over the last two days," said a trader with a foreign commodities brokerage in Kuala Lumpur.
The benchmark January contract on the Bursa Malaysia Derivatives Exchange was down 0.2 percent to 2,260 ringgit ($679) per tonne by Wednesday's close. Prices had touched their highest since Nov. 5 at 2,286 ringgit in early trade before slipping.
Total traded volume stood at 41,671 lots of 25 tonnes, above the usual 35,000 lots.
Crude palm oil output in world's top grower Indonesia fell around 11 percent to 2.385 million tonnes in October, a Reuters survey of leading industry officials showed, with production hampered by dry weather across plantations.
Brazil's government crop supply agency Conab on Tuesday forecast a 2014/15 soybean crop of between 89.3 million tonnes and 91.7 million tonnes, still a record, but below market estimates that have gone as high as 98 million tonnes.
In competing vegetable oil markets, the U.S. soyoil contract for December gained 0.6 percent in late Asian trade, while the most active May soybean oil contract on the Dalian Commodities Exchange climbed 1.4 percent.
Investors are also keeping a close watch on crude oil's sell-off, which could lower palm's demand for biodiesel use.
Brent crude slipped near $81 a barrel on Wednesday, close to a four-year low as a mounting oil glut created by the U.S. shale boom continued to outweigh concerns about supplies from Libya.
Palm, soy and crude oil prices at 1032 GMT
Contract Month Last Change Low High Volume
MY PALM OIL NOV4 2220 -20.00 2219 2260 20
MY PALM OIL DEC4 2247 -20.00 2242 2280 1700
MY PALM OIL JAN5 2260 -6.00 2257 2286 23412
CHINA PALM OLEIN MAY5 5420 +46.00 5380 5450 941992
CHINA SOYOIL MAY5 5988 +80.00 5982 6018 455254
CBOT SOY OIL DEC4 33.10 +1.30 32.87 33.21 7460
INDIA PALM OIL NOV4 451.70 +1.30 450.60 454.40 902
INDIA SOYOIL NOV4 585.65 -0.30 584.50 588.40 3550
NYMEX CRUDE DEC4 77.24 -0.70 77.10 77.62 23164
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 = 3.33 Malaysian ringgit)
($1 = 6.1262 Chinese yuan)
($1 = 61.49 Indian rupee)