MARKET DEVELOPMENT
VEGOILS-Palm Heads for 3rd Session of Gains on Weaker Ringgit
VEGOILS-Palm Heads for 3rd Session of Gains on Weaker Ringgit
* Ringgit hits lowest level in more than a year
* Mkt awaits price outlook from industry conference - Trader
* Palm to test resistance at 2,963 rgt/tonne - Technicals
24/11/2016 (Reuters) - Malaysian palm oil futures rose 1 percent in first-half trade on Wednesday, heading for their third straight session of gains, on the back of a weaker ringgit.
The Malaysian currency fell as much as 0.6 percent to 4.443 against the dollar, its lowest in more than a year. It has shed nearly 6 percent since Donald Trump's victory in the U.S. presidential election on Nov. 8, making it Asia's worst performing currency.
Weakness in the ringgit, the currency that palm oil is traded in, usually makes the tropical oil cheaper for foreign buyers.
Benchmark palm oil futures for February delivery on the Bursa Malaysia Derivatives Exchange were up 1.06 percent at 2,959 ringgit ($666.74) a tonne at the midday break.
Traded volumes stood at 10,004 lots of 25 tonnes each.
Palm oil futures largely tracked the ringgit movement as there was no other stimulus, said a trader based in Kuala Lumpur.
"Trading volume is thin as the market awaits price outlook from the conference in Bali tomorrow," added the trader.
Palm oil is expected to test a resistance at 2,963 ringgit per tonne, a break above which could lead to a gain to the next resistance at 3,002 ringgit, Wang Tao, a Reuters market analyst for commodities and energy technicals, said.
In related vegetable oils, the December soybean oil contract on the Chicago Board Of Trade fell 0.15 percent, while the January soybean oil contract on the Dalian Commodity Exchange dipped 0.18 percent.
In related vegetable oils, the January contract for palm olein on the Dalian Commodity Exchange was down 0.64 percent.
Palm, soy and crude oil prices at 0603 GMT
Contract Month Last Change Low High Volume
MY PALM OIL DEC6 2969 +34.00 2969 2969 20
MY PALM OIL JAN7 2964 +32.00 2949 2965 877
MY PALM OIL FEB7 2959 +31.00 2933 2961 6426
CHINA PALM OLEIN JAN7 6204 -46.00 6172 6266 521838
CHINA SOYOIL JAN7 6728 -14.00 6700 6760 250334
CBOT SOY OIL DEC6 34.43 +1.00 34.36 34.67 3256
INDIA PALM OIL NOV6 539.20 +1.00 537.00 540 271
INDIA SOYOIL DEC6 688.15 -1.45 686.5 690 5420
NYMEX CRUDE JAN7 47.78 -0.25 47.74 48.30 23638
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 = 4.4380 ringgit)
($1 = 68.1799 Indian rupees)
($1 = 6.8840 Chinese yuan)
* Mkt awaits price outlook from industry conference - Trader
* Palm to test resistance at 2,963 rgt/tonne - Technicals
24/11/2016 (Reuters) - Malaysian palm oil futures rose 1 percent in first-half trade on Wednesday, heading for their third straight session of gains, on the back of a weaker ringgit.
The Malaysian currency fell as much as 0.6 percent to 4.443 against the dollar, its lowest in more than a year. It has shed nearly 6 percent since Donald Trump's victory in the U.S. presidential election on Nov. 8, making it Asia's worst performing currency.
Weakness in the ringgit, the currency that palm oil is traded in, usually makes the tropical oil cheaper for foreign buyers.
Benchmark palm oil futures for February delivery on the Bursa Malaysia Derivatives Exchange were up 1.06 percent at 2,959 ringgit ($666.74) a tonne at the midday break.
Traded volumes stood at 10,004 lots of 25 tonnes each.
Palm oil futures largely tracked the ringgit movement as there was no other stimulus, said a trader based in Kuala Lumpur.
"Trading volume is thin as the market awaits price outlook from the conference in Bali tomorrow," added the trader.
Palm oil is expected to test a resistance at 2,963 ringgit per tonne, a break above which could lead to a gain to the next resistance at 3,002 ringgit, Wang Tao, a Reuters market analyst for commodities and energy technicals, said.
In related vegetable oils, the December soybean oil contract on the Chicago Board Of Trade fell 0.15 percent, while the January soybean oil contract on the Dalian Commodity Exchange dipped 0.18 percent.
In related vegetable oils, the January contract for palm olein on the Dalian Commodity Exchange was down 0.64 percent.
Palm, soy and crude oil prices at 0603 GMT
Contract Month Last Change Low High Volume
MY PALM OIL DEC6 2969 +34.00 2969 2969 20
MY PALM OIL JAN7 2964 +32.00 2949 2965 877
MY PALM OIL FEB7 2959 +31.00 2933 2961 6426
CHINA PALM OLEIN JAN7 6204 -46.00 6172 6266 521838
CHINA SOYOIL JAN7 6728 -14.00 6700 6760 250334
CBOT SOY OIL DEC6 34.43 +1.00 34.36 34.67 3256
INDIA PALM OIL NOV6 539.20 +1.00 537.00 540 271
INDIA SOYOIL DEC6 688.15 -1.45 686.5 690 5420
NYMEX CRUDE JAN7 47.78 -0.25 47.74 48.30 23638
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 = 4.4380 ringgit)
($1 = 68.1799 Indian rupees)
($1 = 6.8840 Chinese yuan)