VEGOILS-Palm down for fourth straight day on stronger ringgit, rival oils
By Dewi Kurniawati
JAKARTA, July 28 (Reuters) – Malaysian palm oil futures extended losses to a fourth straight session on Friday and was headed for a weekly fall, as a firmer ringgit and slide in other rival edible oils weighed.
The benchmark palm oil contract FCPOc3 for October delivery on the Bursa Malaysia Derivatives Exchange fell 23 ringgit, or 0.22%, to 4,039 ringgit ($887.69) in the early trade.
By Dewi Kurniawati
JAKARTA, July 28 (Reuters) – Malaysian palm oil futures extended losses to a fourth straight session on Friday and was headed for a weekly fall, as a firmer ringgit and slide in other rival edible oils weighed.
The benchmark palm oil contract FCPOc3 for October delivery on the Bursa Malaysia Derivatives Exchange fell 23 ringgit, or 0.22%, to 4,039 ringgit ($887.69) in the early trade.
FUNDAMENTALS
* The Malaysian ringgit MYR=, palm oil’s currency of trade, appreciated 0.71% against the dollar. A stronger ringgit makes palm oil less attractive for foreign currency holders.
* Dalian’s most-active soyoil contract DBYcv1 down 0.99%, while its palm oil contract DCPcv1 also shed 2.16%. Soyoil prices on the Chicago Board of Trade BOcv1 rose 0.27%.
* Palm oil is affected by price movements in related oils as they compete for a share in the global vegetable oils market.
* Malaysia’s palm oil exports during July 1-25 rose 10.8% from the month before, according to AmSpec Agri Malaysia, while data from cargo surveyor Intertek Testing Services this week showed a 17.8% rise in exports for the same period.
* Oil prices fell in early Asian trade as demand concerns weighed against strong economic data.O/R
* Stronger crude oil futures make palm a more attractive option for biodiesel feedstock.
* Palm oil may keep falling towards 3,846 ringgit per metric ton, as it has broken a support at 3,999 ringgit, said Reuters technical analyst Wang Tao. TECH/C
MARKET NEWS
* Asian stocks were off five-month highs and the yen extended a sharp rally on Friday with speculation that the Bank of Japan could take another small step toward dismantling its super-easy stimulus policies. MKTS/GLOB
DATA/EVENTS (GMT)
0530 France GDP Preliminary QQ Q2
0645 France CPI (EU Norm) Prelim YY July
0645 France Producer Prices YY June
0800 Germany GDP Flash QQ SA, YY NSA Q2
0900 EU Consumer Confid. Final July
1200 Germany CPI Prelim YY July
1200 Germany HICP Prelim YY July
1230 US Consumption, Adjusted MM June
1230 US Core PCE Price Index MM, YY June
1230 US PCE Price Index MM, YY June
1400 US U Mich Sentiment Final July
($1 = 4.5500 ringgit)
(Reporting by Dewi Kurniawati; editing by Eileen Soreng For a table on Malaysian physical palm oil prices, including refined oil, Reuters Terminal users can double click on or type OILS/MY01. * To view freight rates from Peninsula Malaysia/Sumatra to China, India, Pakistan and Rotterdam, please key in OILS/ASIA2 and press enter, or double click between the brackets. * Reuters Terminal users can see cash and futures edible oil prices by double clicking on the codes in the brackets: To go to the next page in the same chain, hit F12. To go back, hit F11. Vegetable oils OILS/ASIA1 Malaysian palm oil exports SGSPALM1 CBOT soyoil futures 0#BO: CBOT soybean futures 0#S: Indian solvent SOLVENT01 Dalian Commodity Exchange DC/MENU Dalian soyoil futures 0#DBY: Dalian refined palm oil futures 0#DCP: Zhengzhou rapeseed oil 0#COI: European edible oil prices/trades OILS/E)
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