MARKET DEVELOPMENT
VEGOILS-Palm Hits 10-month Low on Stronger Ringgit, Rising Output
VEGOILS-Palm Hits 10-month Low on Stronger Ringgit, Rising Output
* Palm sees third decline in four sessions
* Weaker export growth also weigh on market - traders
* Malaysian exports in June 1-10 up 2.2-5.8 pct - ITS, SGS (Updates with closing prices, quote)
14/06/2017 (Reuters) - Malaysian palm oil futures hit a 10-month low in the second half of trade on Tuesday on the back of a stronger ringgit MYR= , while expectations of rising output and weaker export growth also weighed on the market.
The ringgit, palm oil's currency of trade, gained 0.1 percent to 4.2610 per dollar around on Tuesday evening. It earlier reached 4.2570, its strongest in a week. A firmer ringgit typically makes palm oil more expensive for holders of foreign currencies.
The benchmark palm oil contract for August delivery 1FCPOc3 on the Bursa Malaysia Derivatives Exchange was down 1 percent at 2,432 ringgit ($570.76) a tonne at the close. It hit an intraday low of 2,425 ringgit, its lowest since Aug. 8.
Traded volumes stood at 57,616 lots of 25 tonnes.
"People are not optimistic about forward production... Exports are not looking too spectacular. After Ramadan it should slow down," said a Kuala Lumpur-based trader.
Data from industry regulator the Malaysian Palm Oil Board showed May end-stocks falling 2.6 percent from the previous month to 1.56 million tonnes, while production rose 6.9 percent to 1.65 million tonnes.
Exports saw a 17.3 percent surge in shipments to 1.51 million tonnes. palm oil shipments in the first 10 days of June grew at a smaller rate, 5.8 percent, versus the corresponding period last month according to cargo surveyor Intertek Testing Services, and 2.2 percent based on Societe Generale (PA:SOGN) de Surveillance data. PALM/ITS PALM/SGS
In related oils, soybean oil BOv1 on the Chicago Board of Trade was down 0.3 percent, while the September soybean oil contract on the Dalian Commodity Exchange DBYcv1 dipped 0.1 percent.
The September contract for palm olein DCPcv1 was down 0.2 percent.
Palm oil prices are typically impacted by the movements of soyoil, as both the vegetable oils compete for a share in the global edible oils market.
Palm, soy and crude oil prices at 1043 GMT
Contract Month Last Change Low High Volume
MY PALM OIL JUN7 2648 -31.00 2648 2670 473
MY PALM OIL JUL7 2521 -24.00 2521 2566 2594
MY PALM OIL AUG7 2425 -25.00 2425 2478 23712
CHINA PALM OLEIN SEP7 5240 -12.00 5232 5324 418032
CHINA SOYOIL SEP7 5816 -4.00 5802 5850 258926
CBOT SOY OIL JUL7 31.85 -0.09 31.82 32.07 4527
INDIA PALM OIL JUN7 492.40 -6.80 492.10 497.7 936
INDIA SOYOIL JUN7 627.35 -2.40 626.9 629 5570
NYMEX CRUDE JUL7 46.27 +0.19 45.99 46.41 116588
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 = 4.2610 ringgit)
($1 = 64.3975 Indian rupees)
($1 = 6.7967 Chinese yuan)
* Weaker export growth also weigh on market - traders
* Malaysian exports in June 1-10 up 2.2-5.8 pct - ITS, SGS (Updates with closing prices, quote)
14/06/2017 (Reuters) - Malaysian palm oil futures hit a 10-month low in the second half of trade on Tuesday on the back of a stronger ringgit MYR= , while expectations of rising output and weaker export growth also weighed on the market.
The ringgit, palm oil's currency of trade, gained 0.1 percent to 4.2610 per dollar around on Tuesday evening. It earlier reached 4.2570, its strongest in a week. A firmer ringgit typically makes palm oil more expensive for holders of foreign currencies.
The benchmark palm oil contract for August delivery 1FCPOc3 on the Bursa Malaysia Derivatives Exchange was down 1 percent at 2,432 ringgit ($570.76) a tonne at the close. It hit an intraday low of 2,425 ringgit, its lowest since Aug. 8.
Traded volumes stood at 57,616 lots of 25 tonnes.
"People are not optimistic about forward production... Exports are not looking too spectacular. After Ramadan it should slow down," said a Kuala Lumpur-based trader.
Data from industry regulator the Malaysian Palm Oil Board showed May end-stocks falling 2.6 percent from the previous month to 1.56 million tonnes, while production rose 6.9 percent to 1.65 million tonnes.
Exports saw a 17.3 percent surge in shipments to 1.51 million tonnes. palm oil shipments in the first 10 days of June grew at a smaller rate, 5.8 percent, versus the corresponding period last month according to cargo surveyor Intertek Testing Services, and 2.2 percent based on Societe Generale (PA:SOGN) de Surveillance data. PALM/ITS PALM/SGS
In related oils, soybean oil BOv1 on the Chicago Board of Trade was down 0.3 percent, while the September soybean oil contract on the Dalian Commodity Exchange DBYcv1 dipped 0.1 percent.
The September contract for palm olein DCPcv1 was down 0.2 percent.
Palm oil prices are typically impacted by the movements of soyoil, as both the vegetable oils compete for a share in the global edible oils market.
Palm, soy and crude oil prices at 1043 GMT
Contract Month Last Change Low High Volume
MY PALM OIL JUN7 2648 -31.00 2648 2670 473
MY PALM OIL JUL7 2521 -24.00 2521 2566 2594
MY PALM OIL AUG7 2425 -25.00 2425 2478 23712
CHINA PALM OLEIN SEP7 5240 -12.00 5232 5324 418032
CHINA SOYOIL SEP7 5816 -4.00 5802 5850 258926
CBOT SOY OIL JUL7 31.85 -0.09 31.82 32.07 4527
INDIA PALM OIL JUN7 492.40 -6.80 492.10 497.7 936
INDIA SOYOIL JUN7 627.35 -2.40 626.9 629 5570
NYMEX CRUDE JUL7 46.27 +0.19 45.99 46.41 116588
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 = 4.2610 ringgit)
($1 = 64.3975 Indian rupees)
($1 = 6.7967 Chinese yuan)