MARKET DEVELOPMENT
CORRECTED-VEGOILS-Palm Oil Falls Ahead of Key Industry Stocks Report
CORRECTED-VEGOILS-Palm Oil Falls Ahead of Key Industry Stocks Report
(Corrects 5.3 mln T in second bullet to 5.3 pct)
* Market books profits ahead of MPOB report on Wednesday
* Malaysia's May CPO output seen up 5.3 pct - planters' group
* Ringgit edges up 0.1 pct to 3.7605 per dollar
* Indonesia's CPO levy regulations to be finalised this week - finmin
10/06/2015 (Reuters) - Malaysian palm oil futures inched down on Tuesday as investors booked profits ahead of key industry data on monthly inventories and output in the No.2 producer, with prices facing pressure as the ringgit clawed back gains from nine-year lows.
After hitting its lowest since January 2006 on Monday, the ringgit nudged up 0.1 pct to 3.7605 per U.S. dollar, pulling the plug on palm's rally that had lifted benchmark prices to their highest in over three months.
"When the market rallied up, one of the main things behind it was the ringgit," said a trader with a local commodities brokerage.
Some market players are also squaring positions ahead of an upcoming monthly report on Malaysia's palm end-stocks, output and exports by industry regulator the Malaysian Palm Oil Board due Wednesday.
"There is profit-taking ahead of the MPOB report tomorrow ... people are squaring positions," the Malaysia-based trader added.
Market estimates show that Malaysian palm oil stocks likely eased to 2.14 million tonnes in May, with exports of the tropical oil surging nearly 40 percent in their biggest monthly rise in 8-1/2 years.
The Malaysisan Palm Oil Association, a growers' group, estimates that output for the month rose 5.3 percent to 1.78 million tonnes.
By the midday break, the August palm oil contract on the Bursa Malaysia Derivatives exchange had lost 1.6 percent to 2,296 ringgit ($610.39) a tonne, falling off a three-month peak of 2,362 ringgit hit in the previous session.
Total traded volume stood at 20,220 lots of 25 tonnes each, higher than the usual 12,500 lots.
Meanwhile, Indonesia's finance minister Bambang Brodjonegoro said the public service agency to collect and manage crude palm oil levies can be set up after regulations are finalised this week, propelling the top palm producer a step closer to funding an ambitious biodiesel programmes.
"The levy will be implemented after the BLU (Public Service Agency) is established and board of directors is chosen," he said in Jakarta late Monday.
Neighbouring Malaysia plans to raise its biodiesel mandate to 10 percent by October this year from 7 percent currently, its plantation industries and commodities minister said on Monday.
Oil prices edged up on Tuesday on hopes of more economic stimulus in China after disappointing data.
In other markets, the U.S. July soyoil contract dropped 0.1 percent in early Asian trade, while the most active September soybean oil contract on the Dalian Commodity Exchange fell 1.5 percent.
Palm, soy and crude oil prices at 0613 GMT
Contract Month Last Change Low High Volume
MY PALM OIL JUN5 2300 -20.00 2300 2300 1
MY PALM OIL JUL5 2296 -37.00 2288 2307 850
MY PALM OIL AUG5 2296 -37.00 2289 2311 10690
CHINA PALM OLEIN JAN6 5260 -108.00 5200 5354 922304
CHINA SOYOIL SEP5 5722 -82.00 5694 5792 513688
CBOT SOY OIL JUL5 34.07 -1.40 34.00 34.18 3976
INDIA PALM OIL JUN5 457.10 -1.40 455.10 457.90 266
INDIA SOYOIL JUN5 609.05 +0.05 605.50 610.50 2370
NYMEX CRUDE JUL5 58.45 +0.31 58.23 58.50 5321
Palm oil prices in Malaysian ringgit per tonne
CBOT soy oil in U.S. cents per pound
Dalian soy oil and RBD palm olein in Chinese yuan per tonne
India soy oil in Indian rupee per 10 kg
Crude in U.S. dollars per barrel
($1 = 3.7615 ringgit)
($1 = 6.2050 Chinese yuan)
($1 = 63.96 Indian rupees)
* Market books profits ahead of MPOB report on Wednesday
* Malaysia's May CPO output seen up 5.3 pct - planters' group
* Ringgit edges up 0.1 pct to 3.7605 per dollar
* Indonesia's CPO levy regulations to be finalised this week - finmin
10/06/2015 (Reuters) - Malaysian palm oil futures inched down on Tuesday as investors booked profits ahead of key industry data on monthly inventories and output in the No.2 producer, with prices facing pressure as the ringgit clawed back gains from nine-year lows.
After hitting its lowest since January 2006 on Monday, the ringgit nudged up 0.1 pct to 3.7605 per U.S. dollar, pulling the plug on palm's rally that had lifted benchmark prices to their highest in over three months.
"When the market rallied up, one of the main things behind it was the ringgit," said a trader with a local commodities brokerage.
Some market players are also squaring positions ahead of an upcoming monthly report on Malaysia's palm end-stocks, output and exports by industry regulator the Malaysian Palm Oil Board due Wednesday.
"There is profit-taking ahead of the MPOB report tomorrow ... people are squaring positions," the Malaysia-based trader added.
Market estimates show that Malaysian palm oil stocks likely eased to 2.14 million tonnes in May, with exports of the tropical oil surging nearly 40 percent in their biggest monthly rise in 8-1/2 years.
The Malaysisan Palm Oil Association, a growers' group, estimates that output for the month rose 5.3 percent to 1.78 million tonnes.
By the midday break, the August palm oil contract on the Bursa Malaysia Derivatives exchange had lost 1.6 percent to 2,296 ringgit ($610.39) a tonne, falling off a three-month peak of 2,362 ringgit hit in the previous session.
Total traded volume stood at 20,220 lots of 25 tonnes each, higher than the usual 12,500 lots.
Meanwhile, Indonesia's finance minister Bambang Brodjonegoro said the public service agency to collect and manage crude palm oil levies can be set up after regulations are finalised this week, propelling the top palm producer a step closer to funding an ambitious biodiesel programmes.
"The levy will be implemented after the BLU (Public Service Agency) is established and board of directors is chosen," he said in Jakarta late Monday.
Neighbouring Malaysia plans to raise its biodiesel mandate to 10 percent by October this year from 7 percent currently, its plantation industries and commodities minister said on Monday.
Oil prices edged up on Tuesday on hopes of more economic stimulus in China after disappointing data.
In other markets, the U.S. July soyoil contract dropped 0.1 percent in early Asian trade, while the most active September soybean oil contract on the Dalian Commodity Exchange fell 1.5 percent.
Palm, soy and crude oil prices at 0613 GMT
Contract Month Last Change Low High Volume
MY PALM OIL JUN5 2300 -20.00 2300 2300 1
MY PALM OIL JUL5 2296 -37.00 2288 2307 850
MY PALM OIL AUG5 2296 -37.00 2289 2311 10690
CHINA PALM OLEIN JAN6 5260 -108.00 5200 5354 922304
CHINA SOYOIL SEP5 5722 -82.00 5694 5792 513688
CBOT SOY OIL JUL5 34.07 -1.40 34.00 34.18 3976
INDIA PALM OIL JUN5 457.10 -1.40 455.10 457.90 266
INDIA SOYOIL JUN5 609.05 +0.05 605.50 610.50 2370
NYMEX CRUDE JUL5 58.45 +0.31 58.23 58.50 5321
Palm oil prices in Malaysian ringgit per tonne
CBOT soy oil in U.S. cents per pound
Dalian soy oil and RBD palm olein in Chinese yuan per tonne
India soy oil in Indian rupee per 10 kg
Crude in U.S. dollars per barrel
($1 = 3.7615 ringgit)
($1 = 6.2050 Chinese yuan)
($1 = 63.96 Indian rupees)