19/04/2023 (Nasdaq), Singapore - Malaysian palm oil futures rose on Wednesday, extending gains for a second session on the back of strength in rival vegetable oils.

The benchmark palm oil contract FCPOc3 for July delivery on the Bursa Malaysia Derivatives Exchange rose 22 ringgit, or 0.58%, to 3,811 ringgit in early trade.

The benchmark contract posted its biggest daily gain since December in the previous session.

FUNDAMENTALS

* Dalian's most-active soyoil contract DBYcv1 edged 0.58% higher, while its palm oil contract DCPcv1 rose 2.12%. Soyoil prices on the Chicago Board of Trade BOcv1 were down 0.14%.

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

* Exports of Malaysian palm oil products for April 1-15 fell 20.7% to 566,995 tonnes from 715,230 tonnes shipped during March 1-15, cargo surveyor Societe Generale de Surveillance said.

* Traders are assessing whether the Black Sea grain corridor deal would be extended beyond May 18 after recent concerns.

* Oil prices rose in early Asian trade as U.S. crude inventories were seen falling and on strong Chinese economic data, signalling strengthening fuel demand. O/R

* Stronger crude oil futures make palm a more attractive option for biodiesel feedstock.

* Palm oil may extend gains into a range of 3,864-3,934 ringgit per tonne, Reuters technical analyst Wang Tao said. TECH/C

MARKET NEWS

* Stocks eased, while the dollar was under a little pressure, as traders shifted focus from U.S. banking stress to expectations for an imminent peak in the Federal Reserve's interest rate cycle. MKTS/GLOB

DATA/EVENTS (GMT)

0600 UK Core CPI, CPI YY March

0900 EU HICP Final MM, YY Feb

1800 US Federal Reserve issues the Beige Book

Source: Reuters

https://www.nasdaq.com/articles/vegoils-palm-extends-rally-on-stronger-rival-oils