Malaysian palm oil price falls over 1% on weaker overnight US soyoil
The Star Online (03/10/2019) – SINGAPORE: Malaysian palm oil futures fell more than 1% at the close of trade on Wednesday, as overnight losses in U.S. soyoil, its competitor in the global edible oils market, weighed.
The fall is palm oil's third session of losses in four.
The benchmark palm oil contract for the December delivery on the Bursa Malaysia Derivatives Exchange was down 1.3% at 2,140 ringgit per tonne at the market's close at 1000 GMT, its sharpest daily decline since Sept. 24.
It had risen to a one-week high of 2,176 ringgit in its previous trading session.
"The market is down because of soyoil's drop last night," said a Kuala Lumpur-based trader, referring to CBOT soyoil.
Another futures trader added that palm also fell on technical selling, as "the market failed to set a higher high" in its previous day's gains.
In other related oils, U.S. soyoil futures on the U.S. Chicago Board of Trade fell 0.7% in overnight trade, but were last up 0.4% at around 1000 GMT on Wednesday.
The Dalian commodity exchange is closed for the rest of the week for holidays.
U.S. soybean futures edged lower on Wednesday, retreating from a more than two-month high touched in the previous session, though losses were checked by further Chinese purchases and lower-than-expected estimates for North American supplies. – Reuters