MARKET DEVELOPMENT
Palm Rebounds to Near 17-Month High as Malaysian Exports Climb
Palm Rebounds to Near 17-Month High as Malaysian Exports Climb
21/02/2014 (Bloomberg) - Palm oil rallied to trade near a 17-month high after data showed shipments increased from Malaysia, the world’s biggest producer after Indonesia.
The contract for May delivery advanced 0.7 percent to 2,727 ringgit ($825) a metric ton at the midday break on the Bursa Malaysia Derivatives. Futures snapped a five-day rally yesterday, after reaching 2,734 ringgit, the highest price since September 2012.
Exports climbed 17 percent to 875,091 tons in the first 20 days of the month from the same period in January, Intertek, a cargo surveyor, said in an e-mailed statement today. Palm oil rallied 28 percent from a three-year low in July on concern dry weather in some growing areas may curb production in Indonesia and Malaysia. The two countries represent about 90 percent of global supplies, U.S Department of Agriculture data show.
“Rising exports from Malaysia is good news,” said Alan Lim Seong Chun, an analyst at Kenanga Investment Bank.
Soybean oil for delivery in May rose 0.4 percent to 40.66 cents a pound on the Chicago Board of Trade. Soybean futures increased 0.4 percent to $13.4775 a bushel.
Refined palm oil for May delivery fell 0.1 percent to 6,072 yuan ($998) a ton on the Dalian Commodity Exchange. Soybean oil lost 0.1 percent to 6,790 yuan.
The contract for May delivery advanced 0.7 percent to 2,727 ringgit ($825) a metric ton at the midday break on the Bursa Malaysia Derivatives. Futures snapped a five-day rally yesterday, after reaching 2,734 ringgit, the highest price since September 2012.
Exports climbed 17 percent to 875,091 tons in the first 20 days of the month from the same period in January, Intertek, a cargo surveyor, said in an e-mailed statement today. Palm oil rallied 28 percent from a three-year low in July on concern dry weather in some growing areas may curb production in Indonesia and Malaysia. The two countries represent about 90 percent of global supplies, U.S Department of Agriculture data show.
“Rising exports from Malaysia is good news,” said Alan Lim Seong Chun, an analyst at Kenanga Investment Bank.
Soybean oil for delivery in May rose 0.4 percent to 40.66 cents a pound on the Chicago Board of Trade. Soybean futures increased 0.4 percent to $13.4775 a bushel.
Refined palm oil for May delivery fell 0.1 percent to 6,072 yuan ($998) a ton on the Dalian Commodity Exchange. Soybean oil lost 0.1 percent to 6,790 yuan.