Palm oil falls for fifth straight day on weak rival oils, crude
JAKARTA: Malaysian palm oil futures extended declines to a fifth straight session on Thursday, the longest losing streak since mid-September, tracking weakness in rival edible oils and crude oil, but a weaker ringgit limited losses.
The benchmark palm oil contract for February delivery on the Bursa Malaysia Derivatives Exchange lost 20 ringgit, or 0.54%, to close at 3,699 ringgit ($791.74) per metric ton.
The contract hit its lowest level in more than six weeks at 3,641 ringgit per metric ton earlier in the day, before paring some losses.
“External market was recovering from earlier losses and the market is oversold, hence some corrective bounce occurred,” a Kuala Lumpur-based trader told Reuters, adding that weakness in the Malaysian ringgit lent some support.
Dalian’s most-active soyoil contract fell 0.9%, while its palm oil contract shed 1.06%. Soyoil prices on the Chicago Board of Trade rose 1.42%.
Palm oil closes lower for third straight day on weak rival oils
Dalian’s most-active soyoil contract fell 1.60%, while its palm oil contract plunged 3.29%. Soyoil prices on the Chicago Board of Trade were down 0.24%.
Palm oil is affected by price movements in related oils as they compete for a share in the global vegetable oils market.
The world’s palm oil imports in 2023/24 are estimated at 48.6 million tons, down 0.4% from the last update and up 2.5% from the 2022/23 season, Refinitiv Commodities Research showed.
European Union palm oil imports so far in the 2023/24 season that started in July had reached 1.48 million tons by Dec. 3 versus 1.64 million a year earlier.
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.
Source Link :- https://www.brecorder.com/news/40277308/palm-oil-falls-for-fifth-straight-day-on-weak-rival-oils-crude
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