KUALA LUMPUR (June 30): Malaysian palm oil futures slipped to a near two-week low on Monday as weakness in overseas soy markets weighed, although hopes of a recovery in demand curbed losses and helped the tropical oil post its firstly monthly gain in four. But Malaysian palm prices, which set the tone for the global market, still recorded its biggest quarterly loss in nearly two years, weighed by disappointing export demand, a strong ringgit, and rising stockpiles over the past three months. The benchmark September contract on the Bursa Malaysia Derivatives Exchange fell to 2,421 ringgit in late Monday trade, a June 17 low, before settling at 2,425 ringgit ($756) per tonne by the day's close. Prices fell nearly 8 percent this quarter, their biggest drop since September 2012. Total traded volume stood at 34,246 lots of 25 tonnes, just below the average 35,000 lots. "The overseas soybean oil markets were down in the morning, so our (palm) market took the cue from them," said a trader with a foreign commodities brokerage in Kuala Lumpur. Palm typically tracks soyoil, a rival food and fuel substitute. "Palm prices will depend on the supply and demand factors in June, which was earlier forecast to show minus export figures and a sharp increase in production," the trader added. "But it has been adjusted -- exports will likely be up 2-3 percent and production will be marginally up." Cargo surveyor Intertek Testing Services (ITS) showed that exports of Malaysian palm oil products rose 5.8 percent in June to 1,391,942 tonnes compared to a month ago, thanks to stronger demand from India and China. Another cargo surveyor Societe Generale de Surveillance reported that exports for the same month rise 4.6 percent. Technicals showed that Malaysian palm oil has found a support at 2,422 ringgit per tonne and may hover above this level for one trading session, said Reuters market analyst Wang Tao. A firm local unit also added pressure, as it made the ringgit-priced feedstock more expensive for overseas investors and refiners. The ringgit advanced on Monday to trade at 3.2090 per dollar, and has gained 2.1 percent in the first half of the year on expectations of a central bank interest rate hike in July. Benchmark June prices, however, are up 0.1 percent, their first monthly rise since February after violence in Iraq bolstered crude oil prices which in turn channelled biodiesel demand to palm. Fuel demand for the tropical oil later cooled off as crude prices eased. Brent crude oil dropped below $113 a barrel on Monday as fears of a disruption to oil output from Iraq receded after government forces launched a pushback against a Sunni militant insurgency. In competing vegetable oil markets, the U.S. soyoil contract lost 0.5 percent in late Asian trade, while the most active soybean oil contract on the Dalian Commodities Exchange shed 1.1 percent. Palm, soy and crude oil prices at 1013 GMT Contract Month Last Change Low High Volume MY PALM OIL JUL4 2448 -20.00 2445 2470 139 MY PALM OIL AUG4 2440 -22.00 2439 2456 1848 MY PALM OIL SEP4 2425 -20.00 2421 2441 14159 CHINA PALM OLEIN JAN5 5930 -84.00 5926 5970 219662 CHINA SOYOIL JAN5 6944 -76.00 6930 6976 281750 CBOT SOY OIL DEC4 40.17 -0.22 40.16 40.47 3263 NYMEX CRUDE AUG4 105.31 -0.43 105.08 105.76 13328 Palm oil prices in Malaysian ringgit per tonne CBOT soy oil in U.S. cents per pound Dalian soy oil and RBD palm olein in Chinese yuan per tonne Crude in U.S. dollars per barrel ($1 = 3.2095 Malaysian ringgit) ($1 = 6.2050 Chinese yuan)
Ways to search theedgemarkets.com content
by Title: @title "the edge malaysia"
by Author: @author "lucas wong”
by category: @category "corporate" "hot stock”
Combine search: "high speed rail" @author "Bhattacharjee" @category "From the Edge"
Searching either words : 1MDB MAS
Searching all words : “Genting Berhad”
Searching Chinese phrase : “马电讯”