09/08/2012 (Hindu Business Line) - Imported palmolein continued to be bearish tracking extended losses in Malaysian palm oil futures that fell to near two-month low on Wednesday. In Mumbai, palmolein lost by Rs 8 as domestic refineries cut their rates by Rs 10. Cotton refined oil dropped by Rs 3 for 10 kg and rapeseed oil declined by Rs 2. Groundnut, soya and sunflower oil ruled unchanged. Lack of new demand and bearish sentiment kept volumes thin and isolated.

A Mumbai-based broker said tracking weak sentiment abroad local refineries have reduced their rates for palmolein by Rs 10 in the beginning but later on lack of demand added to the selling pressure besides stockists aversion from fresh buying. Increased selling pressure in domestic oilseeds and edible oils futures pulled down palmolein further. A meagre 150-200 tonnes of palmolein were resale traded in the lower range of Rs 604-605. Report of steady progress of monsoon rain in producing centres also weighed on indigenous oils. The market was cautious ahead of MPOB and USDA data.

At closing of the day, Liberty was quoted palmolein at Rs 612, super palmolein Rs 652, soya oil Rs 740 and sunflower refined oil at Rs 765. Ruchi quoted palmolein at Rs 610 for August and Rs 612 for September. Soya refined oil was Rs 738-741, sunflower refined oil Rs 763-765. Allana’s rate for palmolein was Rs 612. Vaibhavi quoted palmolein at Rs 610-612 for 1-10 September. In Saurashtra – Rajkot, groundnut oil ruled steady at Rs 1,900 for Telia tin and Rs 1,235 (Rs 1,240) for loose - 10kg.

On the National Board of Trade – Indore, soya refined oil August futures dropped to Rs 771 (Rs 780.50) while September was Rs 775 (Rs 787.50).

Malaysia's crude palm oil September contracts settled lower at MYR 2,821 (MYR 2,884), October at MYR 2,864 (MYR 2,907) and November at MYR 2,886 (MYR 2,933) a tonne.

The Bombay Commodity Exchange spot rates were (Rs/10 kg): groundnut oil 1,220 (1,220), soya refined oil 740 (740), sunflower exp. ref. 705 (705), sunflower ref. 765 (765), rapeseed ref. oil 885 (887), rapeseed expeller ref. 855 (857) cotton ref. oil 742 (745) and palmolein 610 (618).