MARKET DEVELOPMENT
VEGOILS-Palm Hits Near 1-Wk Low as Rival Oils Weaken
VEGOILS-Palm Hits Near 1-Wk Low as Rival Oils Weaken
* Palm in line for 3rd session of losses
* Market also down on stronger ringgit - trader
* Palm oil may retest a resistance at 2,885 rgt/T - techs
19/09/2017 (Reuters) - Malaysian palm oil futures fell to their lowest in nearly one week on Monday, in line for a third straight session of losses, tracking losses in related edible oils and as a stronger ringgit weighed.
The benchmark palm oil contract for December delivery on the Bursa Malaysia Derivatives Exchange fell 0.7 percent to 2,816 ringgit ($673.20) a tonne at the midday break, the first day of a new trading contract. It earlier hit a low of 2,815 ringgit, its weakest since Sept. 12.
Traded volumes stood at 17,478 lots of 25 tonnes each at noon.
"We're seeing some declines as soyoil was down on Friday and Dalian is also down," said a Kuala Lumpur-based futures trader, referring to soyoil on the Chicago Board of Trade and China's Dalian Commodity Exchange.
"The market has already priced in the bullish factors," he said, referring to the recent gains in palm oil shipments.
Palm oil exports from Malaysia surged over 20 percent in the first half of September from a month ago, led by strong gains in demand from China, Europe and India, cargo surveyor data showed.
The October soybean oil contract on the Chicago Board of Trade saw its sharpest fall in a week on Friday, and was down 0.1 percent on Monday.
The January soybean oil on the Dalian Commodity Exchange fell 1 percent, while the January palm olein contract declined 0.7 percent.
Palm oil prices are impacted by the movements in related edible oils including soy, as they compete for a share in the global vegetable oils market.
The market was also down on a stronger ringgit, and on a correction as it was "technically overbought", said another trader.
The ringgit, the currency palm oil is traded in, strengthened against the dollar in early trade on Monday, making the tropical oil more expensive for foreign currency holders.
The ringgit was up 0.1 percent at 4.1835 per dollar, its strongest level since November.
Palm oil may retest a resistance at 2,885 ringgit per tonne, a break above which could lead to a gain to the next resistance at 2,908 ringgit, according to Wang Tao, a Reuters market analyst for commodities and energy technicals.
Palm, soy and crude oil prices at 0517 GMT
Contract Month Last Change Low High Volume
MY PALM OIL OCT7 2858 -23.00 2858 2885 405
MY PALM OIL NOV7 2834 -27.00 2834 2854 5127
MY PALM OIL DEC7 2816 -19.00 2815 2832 7529
CHINA PALM OLEIN JAN8 5732 -38.00 5708 5776 369798
CHINA SOYOIL JAN8 6338 -64.00 6322 6410 335774
CBOT SOY OIL DEC7 34.75 -0.05 34.71 34.96 3645
INDIA PALM OIL SEP7 548.50 +1.20 546.00 549.8 744
INDIA SOYOIL SEP7 665.5 +0.15 665.5 665.5 30
NYMEX CRUDE OCT7 49.97 +0.08 49.71 49.98 7470
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 = 4.1830 ringgit)
($1 = 64.0100 Indian rupees)
($1 = 6.5471 Chinese yuan)
* Market also down on stronger ringgit - trader
* Palm oil may retest a resistance at 2,885 rgt/T - techs
19/09/2017 (Reuters) - Malaysian palm oil futures fell to their lowest in nearly one week on Monday, in line for a third straight session of losses, tracking losses in related edible oils and as a stronger ringgit weighed.
The benchmark palm oil contract for December delivery on the Bursa Malaysia Derivatives Exchange fell 0.7 percent to 2,816 ringgit ($673.20) a tonne at the midday break, the first day of a new trading contract. It earlier hit a low of 2,815 ringgit, its weakest since Sept. 12.
Traded volumes stood at 17,478 lots of 25 tonnes each at noon.
"We're seeing some declines as soyoil was down on Friday and Dalian is also down," said a Kuala Lumpur-based futures trader, referring to soyoil on the Chicago Board of Trade and China's Dalian Commodity Exchange.
"The market has already priced in the bullish factors," he said, referring to the recent gains in palm oil shipments.
Palm oil exports from Malaysia surged over 20 percent in the first half of September from a month ago, led by strong gains in demand from China, Europe and India, cargo surveyor data showed.
The October soybean oil contract on the Chicago Board of Trade saw its sharpest fall in a week on Friday, and was down 0.1 percent on Monday.
The January soybean oil on the Dalian Commodity Exchange fell 1 percent, while the January palm olein contract declined 0.7 percent.
Palm oil prices are impacted by the movements in related edible oils including soy, as they compete for a share in the global vegetable oils market.
The market was also down on a stronger ringgit, and on a correction as it was "technically overbought", said another trader.
The ringgit, the currency palm oil is traded in, strengthened against the dollar in early trade on Monday, making the tropical oil more expensive for foreign currency holders.
The ringgit was up 0.1 percent at 4.1835 per dollar, its strongest level since November.
Palm oil may retest a resistance at 2,885 ringgit per tonne, a break above which could lead to a gain to the next resistance at 2,908 ringgit, according to Wang Tao, a Reuters market analyst for commodities and energy technicals.
Palm, soy and crude oil prices at 0517 GMT
Contract Month Last Change Low High Volume
MY PALM OIL OCT7 2858 -23.00 2858 2885 405
MY PALM OIL NOV7 2834 -27.00 2834 2854 5127
MY PALM OIL DEC7 2816 -19.00 2815 2832 7529
CHINA PALM OLEIN JAN8 5732 -38.00 5708 5776 369798
CHINA SOYOIL JAN8 6338 -64.00 6322 6410 335774
CBOT SOY OIL DEC7 34.75 -0.05 34.71 34.96 3645
INDIA PALM OIL SEP7 548.50 +1.20 546.00 549.8 744
INDIA SOYOIL SEP7 665.5 +0.15 665.5 665.5 30
NYMEX CRUDE OCT7 49.97 +0.08 49.71 49.98 7470
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 = 4.1830 ringgit)
($1 = 64.0100 Indian rupees)
($1 = 6.5471 Chinese yuan)