Palm oil extends gains for second session despite lower export estimates
20/06/2024 (Business Recorder), Jakarta - Malaysian palm oil futures extended gains for a second consecutive session on Thursday despite lower estimates of palm oil exports for June 1-20.
The benchmark palm oil contract for September delivery on the Bursa Malaysia Derivatives Exchange closed 37 ringgit, or 0.94% higher at 3,957 ringgit ($840.48) a metric ton.
The contract traded between 3,901 ringgit and 3,966 ringgit a metric ton during the session. It was up 0.36% in overnight trade.
The market was range-trading earlier in the session while waiting for leads from exports data and production figures, a Kuala Lumpur-based trader said.
Exports of Malaysian palm oil products for June 1-20 were estimated to have fallen between 8.1% to 12.9% from the same period a month ago, according to cargo surveyor Intertek Testing Services and independent inspection company AmSpec Agri Malaysia.
Another cargo surveyor, Societe Generale de Surveillance, estimates exports of Malaysian palm oil products for June 1-20 at 737,717.
Palm tracks rival vegetable oils higher, stronger ringgit limited gains.
Metric tons, from 647,353 metric tons shipped during May 1-20, according to LSEG. Dalian’s most-active soyoil contract edged up 0.05%, while its palm oil contract gained 0.42%. Soyoil prices on the Chicago Board of Trade were up 0.86%.
Palm oil is affected by price movements in related oils as they compete for a share in the global vegetable oils market.