The Edge Markets (02/04/2018) - KUALA LUMPUR (April 2): Malaysian palm oil futures rose nearly 1% in early trade on Monday, in line for a second consecutive session of gains, as the market was supported by strength in related edible oils and firm demand.

The benchmark palm oil contract for June delivery on the Bursa Malaysia Derivatives Exchange gained 0.95% at RM2,448 (US$634.03) a tonne at the midday break. It rose to RM2,451 earlier in the day, its strongest level since March 22.

"Soyoil is higher and Dalian is also up," said a palm oil futures trader based in Singapore, referring to strong gains in soyoil on the US Chicago Board of Trade and related oils on China's Dalian Commodity Exchange.

"Demand is encouraging, we believe exports will continue to be strong to the Middle East for Ramadan," added the trader.

The Muslim holy month of Ramadan begins in mid-May this year, and incurs higher usage of cooking oil as devotees break day-long fasts with communal feasting. Palm oil is commonly used to make cooking oil, and demand for it in Muslim populated regions grows a month ahead of Ramadan.

Malaysian palm oil shipments for March rose 21.6% versus the previous month, according to data from inspection company AmSpec Agri Malaysia on Saturday.

In related oils, the Chicago Board of Trade's May soybean oil contract rose 1% to its highest in over a week after the US Department of Agriculture projected a year-on-year decline in soybean plantings.

Meanwhile, the May soybean oil on China's Dalian Commodity Exchange jumped 1.7% and the Dalian May palm oil contract rose 0.9%.

Palm oil prices are impacted by movements in rival edible oils as they compete in the global vegetable oils market.

Palm, soy and crude oil prices as of 0554 GMT

Contract                       Month     Last     Change    Low   High    Volume

MY PALM OIL                APR8     2413     +33.00    2400    2413      93

MY PALM OIL                MAY8     2451    +22.00    2446     2454    2092

MY PALM OIL               JUN8     2448     +23.00      2438    2451     7008

CHINA PALM OLEIN   SEP8     5106     +62.00      5050    5126   299882

CHINA SOYOIL           SEP8     5890     +100.00    5810    5916   502036

CBOT SOY OIL            MAY8    32.19     +0.32        31.95   32.23     7723

INDIA PALM OIL          APR8   656.60     +4.80     655.60    659.6     391

INDIA SOYOIL            APR8    785.5       +6.50      782.1     789.7     5680

NYMEX CRUDE        MAY8    65.19       +0.25     64.86      65.36     28256

Palm oil prices in Malaysian ringgit per tonne
CBOT soy oil in US 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 US dollars per barrel

(US$1 = RM3.8610)
(US$1 = 65.1100 Indian rupees)
(US$1 = 6.2798 Chinese yuan)

Read more at http://www.theedgemarkets.com/article/palm-hits-near-2week-top-stronger-rival-oils-exports