MARKET DEVELOPMENT
VEGOILS-Palm Edges up on Demand, But Trade Seen Subdued
VEGOILS-Palm Edges up on Demand, But Trade Seen Subdued
* Market to trade range bound as China, India on public holidays
* Weaker ringgit seen supporting palm - Trader
* Palm may fall to 2,651 rgt/T - Technicals
03/10/2017 (Reuters) - Malaysian palm oil futures rose slightly in early trade on Monday, supported by demand and a weaker ringgit, although public holidays in China and India, the top two buyers of the tropical oil, kept trade subdued.
Palm oil shipments from Malaysia for the full month of September rose 10.4 percent from August, according to data from cargo surveyor Intertek Testing Services on Saturday.
The benchmark palm oil contract for December delivery on the Bursa Malaysia Derivatives Exchange was up 0.2 percent at 2,700 ringgit ($638.45) a tonne at the midday break, in line for the first gain in four sessions.
Traded volumes stood at 14,298 lots of 25 tonnes each at the midday break on Monday.
"It looks like demand is supporting the market," said a Kuala Lumpur based futures trader.
Palm prices could decline "mirroring listless movement in rival oilseeds," said a second trader, although a weaker Malaysian ringgit may cushion any selling. Price moves were likely to be limited, he added.
A weaker ringgit, palm's traded currency, typically supports the tropical oil by making it cheaper for buyers holding foreign currencies.
The ringgit weakened 0.2 percent around noon on Monday at 4.2290 against the dollar.
Palm oil prices are affected by the performance of related edible oils such as soy, as they compete for a share of theglobal vegetable oils market.
The December soybean oil contract on the Chicago Board of Trade was down 0.2 percent. China's Dalian Commodity Exchange is closed for a national public holiday.
Palm oil may break a support at 2,694 ringgit per tonne and fall more to the next support at 2,651 ringgit, according to Wang Tao, a Reuters market analyst for commodities and energy technicals.
Palm, soy and crude oil prices at 0522 GMT
Contract Month Last Change Low High Volume
MY PALM OIL OCT7 2725 +6.00 2710 2725 185
MY PALM OIL NOV7 2698 +1.00 2690 2699 681
MY PALM OIL DEC7 2700 +5.00 2686 2703 6236
CHINA PALM OLEIN JAN8 0 +0.00 0 0 0
CHINA SOYOIL JAN8 0 +0.00 0 0 0
CBOT SOY OIL DEC7 32.74 +0.01 32.7 32.91 4074
INDIA PALM OIL OCT7 532.20 -4.10 528.40 538 2975
INDIA SOYOIL OCT7 661.7 -5.45 659.3 667.8 21250
NYMEX CRUDE NOV7 51.54 -0.13 51.45 51.71 15537
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 = 4.2290 ringgit)
($1 = 65.3050 Indian rupees)
($1 = 6.6533 Chinese yuan)
* Weaker ringgit seen supporting palm - Trader
* Palm may fall to 2,651 rgt/T - Technicals
03/10/2017 (Reuters) - Malaysian palm oil futures rose slightly in early trade on Monday, supported by demand and a weaker ringgit, although public holidays in China and India, the top two buyers of the tropical oil, kept trade subdued.
Palm oil shipments from Malaysia for the full month of September rose 10.4 percent from August, according to data from cargo surveyor Intertek Testing Services on Saturday.
The benchmark palm oil contract for December delivery on the Bursa Malaysia Derivatives Exchange was up 0.2 percent at 2,700 ringgit ($638.45) a tonne at the midday break, in line for the first gain in four sessions.
Traded volumes stood at 14,298 lots of 25 tonnes each at the midday break on Monday.
"It looks like demand is supporting the market," said a Kuala Lumpur based futures trader.
Palm prices could decline "mirroring listless movement in rival oilseeds," said a second trader, although a weaker Malaysian ringgit may cushion any selling. Price moves were likely to be limited, he added.
A weaker ringgit, palm's traded currency, typically supports the tropical oil by making it cheaper for buyers holding foreign currencies.
The ringgit weakened 0.2 percent around noon on Monday at 4.2290 against the dollar.
Palm oil prices are affected by the performance of related edible oils such as soy, as they compete for a share of theglobal vegetable oils market.
The December soybean oil contract on the Chicago Board of Trade was down 0.2 percent. China's Dalian Commodity Exchange is closed for a national public holiday.
Palm oil may break a support at 2,694 ringgit per tonne and fall more to the next support at 2,651 ringgit, according to Wang Tao, a Reuters market analyst for commodities and energy technicals.
Palm, soy and crude oil prices at 0522 GMT
Contract Month Last Change Low High Volume
MY PALM OIL OCT7 2725 +6.00 2710 2725 185
MY PALM OIL NOV7 2698 +1.00 2690 2699 681
MY PALM OIL DEC7 2700 +5.00 2686 2703 6236
CHINA PALM OLEIN JAN8 0 +0.00 0 0 0
CHINA SOYOIL JAN8 0 +0.00 0 0 0
CBOT SOY OIL DEC7 32.74 +0.01 32.7 32.91 4074
INDIA PALM OIL OCT7 532.20 -4.10 528.40 538 2975
INDIA SOYOIL OCT7 661.7 -5.45 659.3 667.8 21250
NYMEX CRUDE NOV7 51.54 -0.13 51.45 51.71 15537
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 = 4.2290 ringgit)
($1 = 65.3050 Indian rupees)
($1 = 6.6533 Chinese yuan)