Palm falls on weaker Dalian; soft ringgit, firm crude cap losses
10/06/2026 (Reuters), Kuala Lumpur - Malaysian palm oil futures slipped for a second consecutive session on Wednesday, weighed by weaker rival Dalian oils, with a softer ringgit and firmer crude oil prices capping the decline.
The benchmark palm oil contract for August delivery on the Bursa Malaysia Derivatives Exchange slid RM23, or 0.51 per cent, to RM4,505 (US$1,108.79) a metric ton in early trade.
Dalian's most-active soyoil contract fell 0.36 per cent, while its palm oil contract shed 0.72 per cent. Soyoil prices on the Chicago Board of Trade were up 0.15 per cent.
Palm oil tracks the price movements of rival edible oils, as it competes for a share of the global vegetable oils market.
Oil prices climbed about 1 per cent, moving away from a seven-week low touched in the previous session, after the US military launched new strikes against Iran and as market data showed another large draw in US crude stocks.
Stronger crude oil futures make palm a more attractive option for biodiesel feedstock.
The ringgit, palm's currency of trade, weakened 0.12 per cent against the dollar, making the commodity cheaper for buyers holding foreign currencies.
European Union soybean imports for the 2025/26 season, which began last July, had reached 12.95 million metric tons by June 7, down 5 per cent from a year earlier, while palm oil imports were down five per cent to 2.69 million tons, according to data published by the European Commission.
Indonesian trade ministry officials faced a barrage of questions from exporters of palm oil, coal and ferroalloys worried about the impact of a controversial new export control plan designed to extract more profit from the country's natural resources.
Palm oil may retest a support at RM4,492 per metric ton, as a bounce triggered by support appears to have ended around a resistance at RM4,538, Reuters technical analyst Wang Tao said.
Asian stocks fell on Wednesday while oil prices surged as escalating tensions in the Middle East unsettled markets, dimming hopes for an end to the months-long war that has pushed commodities higher and stoked inflation worries.