VEGOILS-Palm languishes near 3-month low amid weaker rival oils
SINGAPORE, Sept 22 (Reuters) – Malaysian palm oil futures languished near a three-month low on Friday and looked set to post their third straight weekly loss, as weakness in rival oils countered support from strong export.
The benchmark palm oil contract FCPOc3 for January delivery on the Bursa Malaysia Derivatives Exchange rose 7 ringgit, or 0.2% to 3,686 ringgit ($786.77) a metric ton in rangebound trade. It has declined 2.6% so far in the week.
SINGAPORE, Sept 22 (Reuters) – Malaysian palm oil futures languished near a three-month low on Friday and looked set to post their third straight weekly loss, as weakness in rival oils countered support from strong export.
The benchmark palm oil contract FCPOc3 for January delivery on the Bursa Malaysia Derivatives Exchange rose 7 ringgit, or 0.2% to 3,686 ringgit ($786.77) a metric ton in rangebound trade. It has declined 2.6% so far in the week.
FUNDAMENTALS
* Exports of Malaysian palm oil products for Sept. 1-20 rose 2.4% from Aug. 1-20, cargo surveyor Intertek Testing Services said on Wednesday.
* Independent inspection company AmSpec Agri Malaysia said exports during the same period rose 1.8%.
* Dalian’s most-active soyoil contract DBYcv1 fell 1%, while its palm oil contract DCPcv1 was down 0.3%. Soyoil prices on the Chicago Board of Trade BOcv1 climbed 0.4%.
* Palm oil is affected by price movements in related oils as they compete for a share in the global vegetable oils market.
* The ringgit MYR=, palm’s currency of trade, was steady against the dollar, at 4.69. A weaker ringgit makes palm oil more attractive for foreign currency holders.
* Palm oil may retest a support of 3,636 ringgit per metric ton, as a downtrend from 4,068 ringgit has resumed, said Reuters technical analyst Wang Tao. TECH/C
MARKET NEWS
* Stocks and bonds were under pressure as investors hunkered down for U.S. interest rates to stay higher for longer, while the yen fell after the Bank of Japan maintained its ultra-loose monetary policy stance in a keenly awaited rate decision. MKTS/GLOB
DATA/EVENTS (GMT)
0500 Japan Chain Store Sales YY Aug
0600 UK Retail Sales MM, YY Aug
0600 UK Retail Sales Ex-Fuel MM Aug
0715 France HCOB Mfg, Serv, Comp Flash PMIs Sept
0730 Germany HCOB Mfg, Serv, Comp Flash PMIs Sept
0800 EU HCOB Mfg, Serv, Comp Flash PMIs Sept
0830 UK Flash Comp, Mfg, Serv PMIs Sept
1345 US S&P Global Mfg, Serv, Comp Flash PMIs Sept
($1 = 4.6850 ringgit)
(Reporting by Ashley Fang; Editing by Subhranshu Sahu)
((ashley.fang@thomsonreuters.com;))
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