25/09/2023 (Nasdaq), Jakarta - Malaysian palm oil futures opened higher on Monday, tracking gains in rival Dalian oils and helped by a softer ringgit.

The benchmark palm oil contract FCPOc3 for December delivery on the Bursa Malaysia Derivatives Exchange rose 27 ringgit, or 0.73%, to 3,708 ringgit ($791.80) a metric ton in early trade. The benchmark declined 2.75% last week.

FUNDAMENTALS

* Dalian's most-active soyoil contract DBYcv1 rose 1.14%, while its palm oil contract DCPcv1 increased 1.27%. Soyoil prices on the Chicago Board of Trade BOcv1 were down 0.4%.

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

* Exports of Malaysian palm oil products for Sept. 1-20 rose 2.4% from Aug. 1-20, cargo surveyor Intertek Testing Services said on Wednesday.

* Independent inspection company AmSpec Agri Malaysia said exports during the same period rose 1.8%.

* The ringgit MYR=, palm's currency of trade, fell against the U.S. dollar, making palm oil more attractive for foreign currency holders.

* According to Refinitiv Commodities Research, a worsening drying trend will emerge in October for Indonesia, the biggest palm oil producer in the world.

MARKET NEWS

* Asian shares were hesitant after central banks last week reinforced the message that interest rates will stay higher for longer, while investors braced for inflation data from the U.S. and Europe. MKTS/GLOB

* Oil prices rose as investors focused on a tighter supply outlook after Moscow issued a temporary ban on fuel exports while remaining wary of further rate hikes that could dampen demand. O/R

DATA/EVENTS (GMT)

0800 Germany Ifo Business Climate New

0800 Germany Ifo Curr Conditions New

0800 Germany Ifo Expectations New

($1 = 4.6830 ringgit)

Source: Reuters

https://www.nasdaq.com/articles/vegoils-palm-rises-on-dalian-strength-weaker-ringgit