PALM NEWS MALAYSIAN PALM OIL BOARD Friday, 29 Mar 2024

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MARKET DEVELOPMENT
Malaysian palm oil firms on technical rebound
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KUALA LUMPUR, Aug 24 (Reuters) - Malaysian crude palm oil futuresreturned to positive territory in a chart-inspired rally on Friday andhopes that India may be coming back to the market to stock up. Thebenchmark third-month November contract was 11 ringgit higher at 1,109ringgit ($291.84) a tonne after trading as high as 1,112. Volume was thinat 436 lots. November contract ended down 23 ringgit at 1,098 ringgit($288.95) at the close on Thursday. "India still hesitates to buy palm oilbecause its local edible oil crop is coming in in October. But who knowswhether the crop is sufficient to meet demand," said one trader in KualaLumpur. "I guess, India will be buying palm oil anytime soon," he added.Some other traders said India, the world's largest edible oil importer,would come to the market next month ahead of the Diwali Hindu festival oflights in November. One technical analyst pegged major support at 1,076ringgit. Immediate resistance was quoted at 1,120 ringgit. "If the marketcan hold the support level in the next five days, we could see (a further)technical rebound," said the analyst.

Some traders said while India's demand was still slow, other main buyerssuch as China and Pakistan were replenishing their stocks. China was seenimporting 170,000 tonnes of palm oil in August from Malaysia andIndonesia, the world's top palm oil producers, compared with 140,000tonnes last month. Pakistan's palm oil imports from both countries wereexpected to reach 140,000 tonnes this month against 108,000 tonnes inJuly. Physical August crude palm oil for the southern region was offeredat 1,130 ringgit a tonne against bids at 1,120. There were no deals.August CPO for the central region saw offers at 1,135 against bids of1,125. Deals were reported at 1,130. September CPO for both the southernand central regions saw offers at 1,130 ringgit against bids of 1,120.There were no deals. Among refined products, September RBD palm oil wasoffered at $310 a tonne and October/November/December at $312.50. Offersfor September to December RBD olein were at $327.50. September RBD palmstearin was offered at $267.50 a tonne and September palm fatty aciddistillate was offered at $210.00.(US$1 = 3.8 ringgit)