MARKET DEVELOPMENT
VEGOILS-Palm Soars to Over Two-Year High on Output Decline
VEGOILS-Palm Soars to Over Two-Year High on Output Decline
* Palm climbs to over two-year high, second day of gains
* Market up with rival oils on Dalian, CBOT and output data
25/10/2016 (Reuters) - Malaysian palm oil futures climbed to their strongest levels in two and a half years on Monday evening on declining output data, and tracking gains in rival oils on China's Dalian Commodity Exchange and the Chicago Board of Trade (CBOT).
Benchmark palm oil futures for January on the Bursa Malaysia Derivatives Exchange surged 3.6 percent to 2,822 ringgit ($676) a tonne at the end of the trading day. Earlier in the session, the contract hit 2,828 ringgit, its highest since March 13, 2014 and also posted the strongest gains in a week.
Traded volumes stood at 59,626 lots of 25 tonnes each at the close of trade, higher than the 2015 daily average of 44,600 lots.
"The market's second session was firm on Dalian and the CBOT, and flew on data from the Malaysian Palm Oil Association," said a futures trader from Kuala Lumpur, saying the production data recorded a near 18 percent drop in Peninsular Malaysia and a 11 percent decline in Malaysia overall.
Palm oil prices respond to the movements of related vegetable oils as they compete for a share in the global edible oils market.
The contract hit a more than two-year high of 2,800 ringgit on Oct. 18 tracking the surge in Chinese vegetable oils, which also rose to their highest levels in about two years.
Output in Malaysia, the world's second largest palm producer after Indonesia, is affected by the lagging effects of last year's crop-damaging El Nino.
September production in Malaysia rose 0.8 percent from the previous month, its smallest monthly gain since June 2011. This was the lowest output figure for September since 2010. (MYPOMP-CPOTT)
In related vegetable oils, the December soybean oil contract on the Chicago Board of Trade rose as much as 2.6 percent, while the January soybean oil contract on China's Dalian Commodity Exchange climbed as much as 2 percent.
The January contract for palm olein on China's Dalian Commodity Exchange surged 3.5 percent.
Palm, soy and crude oil prices at 1116 GMT
Contract Month Last Change Low High Volume
MY PALM OIL NOV6 2803 +62.00 2765 2820 1766
MY PALM OIL DEC6 2827 +95.00 2738 2832 9122
MY PALM OIL JAN7 2828 +98.00 2731 2828 24977
CHINA PALM OLEIN JAN7 5934 +202.00 5726 5946 1165514
CHINA SOYOIL JAN7 6714 +130.00 6546 6718 721524
CBOT SOY OIL DEC6 36.03 +0.91 35.05 36.15 15596
INDIA PALM OIL OCT6 538.00 +5.60 533.5 539 2577
INDIA SOYOIL NOV6 674.5 +8.50 666 675.5 41590
NYMEX CRUDE DEC6 50.50 -0.35 50.41 50.98 85380
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 = 4.1750 ringgit)
($1 = 66.8299 Indian rupees)
($1 = 6.7710 Chinese yuan)
* Market up with rival oils on Dalian, CBOT and output data
25/10/2016 (Reuters) - Malaysian palm oil futures climbed to their strongest levels in two and a half years on Monday evening on declining output data, and tracking gains in rival oils on China's Dalian Commodity Exchange and the Chicago Board of Trade (CBOT).
Benchmark palm oil futures for January on the Bursa Malaysia Derivatives Exchange surged 3.6 percent to 2,822 ringgit ($676) a tonne at the end of the trading day. Earlier in the session, the contract hit 2,828 ringgit, its highest since March 13, 2014 and also posted the strongest gains in a week.
Traded volumes stood at 59,626 lots of 25 tonnes each at the close of trade, higher than the 2015 daily average of 44,600 lots.
"The market's second session was firm on Dalian and the CBOT, and flew on data from the Malaysian Palm Oil Association," said a futures trader from Kuala Lumpur, saying the production data recorded a near 18 percent drop in Peninsular Malaysia and a 11 percent decline in Malaysia overall.
Palm oil prices respond to the movements of related vegetable oils as they compete for a share in the global edible oils market.
The contract hit a more than two-year high of 2,800 ringgit on Oct. 18 tracking the surge in Chinese vegetable oils, which also rose to their highest levels in about two years.
Output in Malaysia, the world's second largest palm producer after Indonesia, is affected by the lagging effects of last year's crop-damaging El Nino.
September production in Malaysia rose 0.8 percent from the previous month, its smallest monthly gain since June 2011. This was the lowest output figure for September since 2010. (MYPOMP-CPOTT)
In related vegetable oils, the December soybean oil contract on the Chicago Board of Trade rose as much as 2.6 percent, while the January soybean oil contract on China's Dalian Commodity Exchange climbed as much as 2 percent.
The January contract for palm olein on China's Dalian Commodity Exchange surged 3.5 percent.
Palm, soy and crude oil prices at 1116 GMT
Contract Month Last Change Low High Volume
MY PALM OIL NOV6 2803 +62.00 2765 2820 1766
MY PALM OIL DEC6 2827 +95.00 2738 2832 9122
MY PALM OIL JAN7 2828 +98.00 2731 2828 24977
CHINA PALM OLEIN JAN7 5934 +202.00 5726 5946 1165514
CHINA SOYOIL JAN7 6714 +130.00 6546 6718 721524
CBOT SOY OIL DEC6 36.03 +0.91 35.05 36.15 15596
INDIA PALM OIL OCT6 538.00 +5.60 533.5 539 2577
INDIA SOYOIL NOV6 674.5 +8.50 666 675.5 41590
NYMEX CRUDE DEC6 50.50 -0.35 50.41 50.98 85380
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 = 4.1750 ringgit)
($1 = 66.8299 Indian rupees)
($1 = 6.7710 Chinese yuan)