* End-Feb exports seen falling -trader

* Traders expect Middle East demand to improve in March

(Updates latest prices)

19/02/2016 (Reuters) - Malaysian palm oil futures fell as the ringgit gained over 1 percent against the dollar on Thursday, and on expectations of weaker export data towards the end of February.

The palm oil contract for May delivery on the Bursa Malaysia Derivatives Exchange was down 0.6 percent at 2,598 ringgit ($624.52) per tonne in evening trade, ending the day 1.9 percent lower from its near two-year high of 2,648 ringgit hit on Monday. Traded volume stood at 42,909 lots of 25 tonnes each.

"It's all ringgit play today, and I expect exports on Feb. 20 to come down, but March should see some demand creeping in from the Middle East," said a trader at a brokerage based in Kuala Lumpur.

"They have not been buying much in Jan and Feb so they need to replenish stocks. March is also the onset of summer, so demand will pick up."

The ringgit, the currency palm oil is traded in, hit a session high of 4.1540 per dollar on Thursday, buoyed by Malaysia's better-than-expected gross domestic product data.

A stronger ringgit makes palm oil more expensive for holders of foreign currencies.

Malaysian shipments for the first half of February fell 14-16 percent compared with the same period a month ago, according to cargo surveyor data. Exports fell due to weak demand from top palm importers China and India.

Palm oil may retest support at 2,576 ringgit per tonne as its drop from the Feb. 15 high of 2,648 ringgit has not finished yet, according to Wang Tao, Reuters market analyst for commodities and energy technicals.

In competing vegetable oil markets, the Chicago soyoil contract lost 0.3 percent.

Palm, soy and crude oil prices at 1005 GMT

Contract Month Last Change Low High Volume

MY PALM OIL MAR6 2530 -15.00 2502 2561 468

MY PALM OIL APR6 2585 -11.00 2565 2609 4107

MY PALM OIL MAY6 2598 -15.00 2580 2625 22598

CHINA PALM OLEIN MAY6 5000 +38.00 4986 5050 1054656

CHINA SOYOIL MAY6 5766 +0.00 5756 5814 420704

CBOT SOY OIL MAR6 31.90 -2.00 31.75 32.00 8409

INDIA PALM OIL FEB6 486.80 -2.00 485.50 488.60 652

INDIA SOYOIL FEB6 618.50 +0.45 618.50 619.50 480

NYMEX CRUDE MAR6 31.36 +0.70 31.01 31.72 32020

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 = 4.1600 ringgit)
($1 = 68.4900 Indian rupees)
($1 = 6.5150 Chinese yuan)