10/04/2023 (Nasdaq), Kuala Lumpur - Malaysian palm oil futures rose for a second session on Tuesday after lower-than-expected March inventories, although weak exports in April so far capped gains.

The benchmark palm oil contract FCPOc3 for June delivery on the Bursa Malaysia Derivatives Exchange gained 11 ringgit, or 0.29%, to 3,848 ringgit ($871.57) a tonne during early trade.

FUNDAMENTALS

* Indonesia plans to set its crude palm oil reference price at $932.69 per tonne for the April 16-30 period, up from $898.29 per tonne in the first half of the month, an official at the economic coordinating ministry said on Monday.

* Malaysia's palm oil inventories at end-March plunged 21.08% from the previous month to 1.67 million tonnes as exports surged, data by the Malaysian Palm Oil Board showed on Monday.

* Exports of Malaysian palm oil products for April 1-10 fell between 29% and 35.6% from the same week in March, cargo surveyors said on Monday.

* Dalian's most-active soyoil contract DBYcv1 fell 0.2%, while its palm oil contract DCPcv1 gained 1.5%. Soyoil prices on the Chicago Board of Trade BOcv1 were up 0.3%.

* Palm oil is affected by price movements in related oils as they compete for a share in the global vegetable oils market.

* Palm oil may keep bouncing to 3,910 ringgit per tonne, a break above which could open the way towards 3,980 ringgit, Reuters technical analyst Wang Tao said. TECH/C

MARKET NEWS

* U.S. stocks closed mostly flat and the dollar rose on Monday after strong jobs data last week pointed to the Federal Reserve hiking interest rates in May, while the yen eased after Japan's new central bank governor vowed to maintain ultra-loose policy. MKTS/GLOB

DATA/EVENTS (GMT)

0130 China PPI, CPI YY March

($1 = 4.4150 ringgit)

Source: Reuters

https://www.nasdaq.com/articles/vegoils-palm-oil-gains-on-smaller-march-inventories