09.04.2018 (The Edge Markets MY) - KUALA LUMPUR (April 9): Malaysian palm oil futures fell on profit-taking on Wednesday, after three sessions of gains while a stronger ringgit and overnight losses in U.S. soyoil on the Chicago Board of Trade also weighed.

The benchmark palm oil contract for June delivery on the Bursa Malaysia Derivatives Exchange fell 1% to 2,480 ringgit (US$642.32) a tonne at the midday break, its sharpest fall in three weeks.

Palm had hit a five-week high in the previous session, after Malaysia announced it would extend tax exemptions on crude palm oil (CPO) exports to a fourth straight month in April.

Trading volumes stood at 13,422 lots of 25 tonnes each at noon.

"We're seeing some profit-taking after palm's last session, which was overdone on the upside, and ahead of the Malaysian Palm Oil Board report due tomorrow," said a Kuala Lumpur-based futures trader.

The Malaysian industry regulator is scheduled to release official data on palm oil's March stockpiles, production and exports after 0430 GMT on Tuesday.

End-stocks in Malaysia are forecast to have declined 8.6% from February to 2.27 million tonnes, while exports are seen rising to 19.3% on-month to 1.57 million tonnes, according to a Reuters poll.

Meanwhile, production is seen up 11.3% to 1.49 million tonnes in March.

The trader also added that weaker overnight soyoil on the Chicago Board of Trade and a stronger ringgit also weakened palm oil prices on Monday.

A stronger ringgit, palm's currency of trade, typically makes the edible oil more expensive for foreign buyers. The ringgit slightly strengthened against the dollar in early trade on Monday, rising 0.2% to 3.8610 per dollar around noon.

In related oils, the Chicago Board of Trade's May soybean oil contract declined 0.8% on Friday, but was last up 0.3% on Monday.

The May soybean oil on China's Dalian Commodity Exchange jumped 2.1%, while the Dalian May palm oil contract rose 1.4%.

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

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Palm, soy and crude oil prices as of 0450 GMT

Contract	Month	Last	Change	Low	High	Volume
MY PALM OIL	APR8	0	+0.00	0	0	0
MY PALM OIL	MAY8	2480	-29.00	2480	2497	386
MY PALM OIL	JUN8	2480	-25.00	2479	2498	7151
CHINA PALM OLEIN	SEP8	5224	+96.00	5202	5350	250662
CHINA SOYOIL	SEP8	6056	+120.00	6020	6198	492364
CBOT SOY OIL	MAY8	31.63	+0.10	31.5	31.75	9186
INDIA PALM OIL	APR8	651.70	-3.10	651.00	653.5	79
INDIA SOYOIL	APR8	780.7	-0.40	780.7	783	220
NYMEX CRUDE	MAY8	62.31	+0.25	61.93	62.36	34164

 

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

(US$1 = 3.8610 ringgit)
(US$1 = 64.8900 Indian rupees)
(US$1 = 6.2977 Chinese yuan)