MARKET DEVELOPMENT
VEGOILS-Palm Gains on Strong Export Demand, Higher Soyoil Prices
VEGOILS-Palm Gains on Strong Export Demand, Higher Soyoil Prices
* Palm sees second day of gains
* May test support at 2,477 rgt/T - technicals
(Updates with closing prices)
03/05/2017 (Reuters) - Malaysian palm oil futures rose on Tuesday evening in their second consecutive day of gains, helped by strong export data and firmer soyoil prices.
The benchmark palm oil contract for July delivery on the Bursa Malaysia Derivatives Exchange was up 1.6 percent at 2,548 ringgit ($589.00) a tonne by the end of the trading day.
Volumes stood at 35,723 lots of 25 tonnes each at the close.
Palm had fallen for three consecutive weeks on expectations of rising output and weaker-than-expected export demand.
"The market was expecting exports to be unchanged (from the previous month) or even lower," said a Kuala Lumpur-based futures trader.
Palm oil export demand declined in early April, cargo surveyor data showed, despite the upcoming Muslim fasting month of Ramadan at end-May. The festival sees a higher usage of palm oil for cooking purposes, as Muslims end day-long fasts with communal feasting.
Shipments of the tropical oil however improved for the full month of April, rising 4.6 percent from March, according to Intertek Testing Services on Tuesday.
Societe Generale de Surveillance reported a 4.3 percent gain in shipments for the same time period.
Stronger performing soyoil also lent support to palm prices, the trader added.
Palm oil prices track other related edible oils, as they compete for a share in the global vegetable oils market.
Soybean oil on the Chicago Board of Trade climbed as much as 0.5 percent, while the September soybean oil contract on the Dalian Commodity Exchange was up 1.2 percent.
In related vegetable oils, the September contract for palm olein gained 1.8 percent.
Palm oil may test a support at 2,477 ringgit per tonne, a break below which could cause a loss to 2,450 ringgit, according to Reuters market analyst for commodities and energy technicals Wang Tao.
Palm, soy and crude oil prices at 1035 GMT
Contract Month Last Change Low High Volume
MY PALM OIL MAY7 2730 +36.00 2700 2740 376
MY PALM OIL JUN7 2633 +42.00 2605 2640 2480
MY PALM OIL JUL7 2546 +40.00 2520 2556 18386
CHINA PALM OLEIN SEP7 5246 +90.00 5192 5268 306406
CHINA SOYOIL SEP7 5894 +70.00 5838 5910 367600
CBOT SOY OIL JUL7 32.33 +0.16 32.07 32.45 10057
INDIA PALM OIL MAY7 492.20 +0.10 491.70 494.5 660
INDIA SOYOIL MAY7 612.55 +2.10 611.5 615 9730
NYMEX CRUDE JUN7 49.21 +0.37 48.54 49.24 107818
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 = 4.3260 ringgit)
($1 = 64.1825 Indian rupees)
($1 = 6.8951 Chinese yuan)
* May test support at 2,477 rgt/T - technicals
(Updates with closing prices)
03/05/2017 (Reuters) - Malaysian palm oil futures rose on Tuesday evening in their second consecutive day of gains, helped by strong export data and firmer soyoil prices.
The benchmark palm oil contract for July delivery on the Bursa Malaysia Derivatives Exchange was up 1.6 percent at 2,548 ringgit ($589.00) a tonne by the end of the trading day.
Volumes stood at 35,723 lots of 25 tonnes each at the close.
Palm had fallen for three consecutive weeks on expectations of rising output and weaker-than-expected export demand.
"The market was expecting exports to be unchanged (from the previous month) or even lower," said a Kuala Lumpur-based futures trader.
Palm oil export demand declined in early April, cargo surveyor data showed, despite the upcoming Muslim fasting month of Ramadan at end-May. The festival sees a higher usage of palm oil for cooking purposes, as Muslims end day-long fasts with communal feasting.
Shipments of the tropical oil however improved for the full month of April, rising 4.6 percent from March, according to Intertek Testing Services on Tuesday.
Societe Generale de Surveillance reported a 4.3 percent gain in shipments for the same time period.
Stronger performing soyoil also lent support to palm prices, the trader added.
Palm oil prices track other related edible oils, as they compete for a share in the global vegetable oils market.
Soybean oil on the Chicago Board of Trade climbed as much as 0.5 percent, while the September soybean oil contract on the Dalian Commodity Exchange was up 1.2 percent.
In related vegetable oils, the September contract for palm olein gained 1.8 percent.
Palm oil may test a support at 2,477 ringgit per tonne, a break below which could cause a loss to 2,450 ringgit, according to Reuters market analyst for commodities and energy technicals Wang Tao.
Palm, soy and crude oil prices at 1035 GMT
Contract Month Last Change Low High Volume
MY PALM OIL MAY7 2730 +36.00 2700 2740 376
MY PALM OIL JUN7 2633 +42.00 2605 2640 2480
MY PALM OIL JUL7 2546 +40.00 2520 2556 18386
CHINA PALM OLEIN SEP7 5246 +90.00 5192 5268 306406
CHINA SOYOIL SEP7 5894 +70.00 5838 5910 367600
CBOT SOY OIL JUL7 32.33 +0.16 32.07 32.45 10057
INDIA PALM OIL MAY7 492.20 +0.10 491.70 494.5 660
INDIA SOYOIL MAY7 612.55 +2.10 611.5 615 9730
NYMEX CRUDE JUN7 49.21 +0.37 48.54 49.24 107818
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 = 4.3260 ringgit)
($1 = 64.1825 Indian rupees)
($1 = 6.8951 Chinese yuan)