Palm oil futures climb toward 2-year high on petroleum, soyoil
18.11.2019 (The Star Online) - NEW DELHI: Palm oil futures advanced to trade near a two-year high, with firmer petroleum prices and a rise in rival soybean oil supporting the market.
CPO for third month delivery rose to a high of RM2,636 per tonne on Monday.
Crude oil rose to hover near its highest close in eight weeks on signs of progress toward a breakthrough in the US-China trade war. Stronger petroleum prices often make palm more attractive for blending into biofuel.
Soybeans and soyoil increased after top U.S. and Chinese negotiators talked again at the weekend, following signs of concessions from both sides on some of the outstanding trade issues.
Money managers have increased their bullish soybean oil bets, weekly CFTC data on futures and options show.
Palm oil futures, which surged to a two-year high last week, are up almost 35% from their lowest level in four years in July. Prices are generally supported by lower reserves, weaker output and biodiesel demand. - Bloomberg