MARKET DEVELOPMENT
Outlook Turns Bearish for Edible Oils on Slack Demand
Outlook Turns Bearish for Edible Oils on Slack Demand
06/11/2014 (Hindu Business Line) - Edible oils futures witnessed sharp drop while the bearish trend continued on the spot market on Wednesday on higher selling amid slack demand. NCDEX soya oil futures dropped over one-and-half per cent, tracking extended loss on Malaysian crude palm oil futures. In the spot market, volume in imported oils was scattered. Indigenous sunflower and rapeseed oil gained marginally. On the Bombay Commodity Exchange, palmolein declined by ₹5for 10 kg, groundnut and cotton refined oil dropped by ₹5-10 each tracking bearish Saurashtra markets where groundnut oil eased by ₹25-30. Rapeseed and sunflower oil gained ₹5 each.
Malaysian palm oil futures fell for a second day to a one-week low on Wednesday, tracking losses in overnight soya and crude oil markets. Weaker soya oil prices could diminish appetite for palm as price-sensitive buyers opt for the rival edible oil instead, market players said. A Mumbai-based broker said weak overseas market affected the morale in spot and futures here. Speculators’ aggressive reselling kept stockists away from fresh commitments. Only a few bought 100-150 tonnes of palmolein at ₹498-500 in isolated trade. Improved arrivals of indigenous oilseeds in producing centres weighed on groundnut and cotton oil. Soyabean arrivals were around 5.50 lakh bags at the national level, in which Madhya Pradesh received about 3.50 lakh bags.
At the end of the day, Liberty was quoting palmolein ₹512-514, super palmolein at ₹540 and soyabean refined oil at ₹615.
Ruchi was quoting palmolein at ₹512, soyabean refined oil at ₹605 and sunflower refined oil at ₹631.
Allana was quoting palmolein at ₹512, super palmolein at ₹555, soyabean refined oil at ₹612 and sunflower oil at ₹645.
In Saurashtra – Rajkot Groundnut oil Telia tin was ₹1,265 (₹1,300) and Loose (10 kg) was ₹805 (₹825).
Malaysia BMD crude palm oil’s November contracts settled lower at MYR 2,228 (MYR 2,285), December at MYR 2,258 (MYR 2,315) and January at MYR 2,252 (MYR 2,308).
On The Bombay Commodity Exchange spot rates (₹/10 kg) were: groundnut oil 860 (870), soya refined oil 610 (610), sunflower exp. ref. 585 (580), sunflower ref. 635 (630), rapeseed ref. oil 733 (730), rapeseed expeller ref. 703 (700) cottonseed ref. oil 615 (620) and palmolein 505 (510).
Malaysian palm oil futures fell for a second day to a one-week low on Wednesday, tracking losses in overnight soya and crude oil markets. Weaker soya oil prices could diminish appetite for palm as price-sensitive buyers opt for the rival edible oil instead, market players said. A Mumbai-based broker said weak overseas market affected the morale in spot and futures here. Speculators’ aggressive reselling kept stockists away from fresh commitments. Only a few bought 100-150 tonnes of palmolein at ₹498-500 in isolated trade. Improved arrivals of indigenous oilseeds in producing centres weighed on groundnut and cotton oil. Soyabean arrivals were around 5.50 lakh bags at the national level, in which Madhya Pradesh received about 3.50 lakh bags.
At the end of the day, Liberty was quoting palmolein ₹512-514, super palmolein at ₹540 and soyabean refined oil at ₹615.
Ruchi was quoting palmolein at ₹512, soyabean refined oil at ₹605 and sunflower refined oil at ₹631.
Allana was quoting palmolein at ₹512, super palmolein at ₹555, soyabean refined oil at ₹612 and sunflower oil at ₹645.
In Saurashtra – Rajkot Groundnut oil Telia tin was ₹1,265 (₹1,300) and Loose (10 kg) was ₹805 (₹825).
Malaysia BMD crude palm oil’s November contracts settled lower at MYR 2,228 (MYR 2,285), December at MYR 2,258 (MYR 2,315) and January at MYR 2,252 (MYR 2,308).
On The Bombay Commodity Exchange spot rates (₹/10 kg) were: groundnut oil 860 (870), soya refined oil 610 (610), sunflower exp. ref. 585 (580), sunflower ref. 635 (630), rapeseed ref. oil 733 (730), rapeseed expeller ref. 703 (700) cottonseed ref. oil 615 (620) and palmolein 505 (510).