04/12/2023 (Nasdaq), Jakarta - Malaysian palm oil futures fell for a second straight session on Monday to its lowest in nearly four weeks, weighed down by weakness in rival vegetable oils and weak demand, as market participants awaited new leads.

The benchmark palm oil contract FCPOc3 for February delivery on the Bursa Malaysia Derivatives Exchange dropped 52 ringgit, or 1.34%, to 3,822 ringgit($821.05) at closing.

"Despite the bullish November export performance and the expectations of a slight drawdown in palm oil inventories, palm oil prices are under pressure amidst a lack of buying interest from key destination markets," said Anilkumar Bagani, commodity research head at Mumbai-based Sunvin Group.

Malaysian palm oil inventories at the end of November were seen falling for the first month since April, as a seasonal output decline was expected to start while exports continued to rise, a Reuters survey showed.

Dalian's most-active soyoil contract DBYcv1 fell 0.61%, while its palm oil contract DCPcv1 was down 0.63%. Soyoil prices on the Chicago Board of Trade BOc2 were up 0.25%.

Palm oil is affected by price movements in related oils as they compete for a share of theglobal market

Exports of Malaysian palm oil products in November were estimated to be up between 2% and 11% from the previous month, data from surveyors Intertek Testing Services and AmSpec Agri Malaysia showed.

($1 = 4.6550 ringgit)

Source: Reuters

https://www.nasdaq.com/articles/vegoils-palm-oil-declines-on-weaker-rivals-weak-demand