12.04.2021 (www.todayonline.com) - KUALA LUMPUR, April 12 - Malaysian palm oil futures fell on Monday for a third straight session, dragged down by weakness in rival soybean oil and expectations of higher production, ahead of March supply and demand data.

The benchmark palm oil contract for June delivery on the Bursa Malaysia Derivatives Exchange slid 13 ringgit, or 0.35%, to 3,754 ringgit ($907.64) a tonne in early trade, after rising 0.8% last week.

The Malaysian Palm Oil Board will release supply and demand data for last month later in the day.

FUNDAMENTALS

* Malaysia's palm oil exports during April 1-10 gained between 10% and 11% from the same period in March, cargo surveyors said on Saturday.

* The U.S. Department of Agriculture (USDA) on Saturday forecast Malaysian crude palm oil production in 2021/22 at 20 million tonnes, slightly up from 19.5 million tonnes in 2020/21 based on the assumption that the government will reopen borders and industry will be able to recruit new labourers.

* Dalian's most-active soyoil contract fell 0.7%, while its palm oil contract dropped 1.2%. Soyoil prices on the Chicago Board of Trade were down 0.7%.

* Palm oil is affected by price movements in related oils as they compete for a share in the global vegetable oils market.

* Palm oil may break a support at 3,761 ringgit per tonne and fall to 3,659 ringgit, as it has completed a bounce from 3,495 ringgit, Reuters technical analyst Wang Tao said.

MARKET NEWS

* Asian shares faltered on Monday as investors wait to see if U.S. earnings can justify sky-high valuations, while bond markets could be tested by what should be very strong readings for U.S. inflation and retail sales this week.

DATA/EVENTS

0900 EU Retail Sales MM, YY Feb

1200 India CPI Inflation YY March

1200 India Industrial Output YY Feb

($1 = 4.1360 ringgit) REUTERS