Palm oil ends day unchanged but posts first weekly gain in four

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SINGAPORE (May 17): Malaysian palm oil futures closed Friday's trading unchanged, as the market lost steam after a four-session rally backed by strong demand for the edible oil.

The benchmark palm oil contract on the Bursa Malaysia Derivatives Exchange ended flat at 2,096 ringgit (US$501.56) a tonne.

During the session, the market had fallen to 2,078 ringgit on some profit-taking, a Kuala Lumpur-based trader said. But palm oil gained 5.7% for the week after three weekly losses.

"If you look at the fundamentals, demand is pretty strong at these price levels. The next driver is production for the month of May and it will be bullish for the market,  if Malaysian production drops well below the April level," the trader said.

Malaysian palm oil shipments rose between 4% and 15% during May 1-15 from the corresponding period last month, according to data from three cargo surveyors, Amspec Agri Malaysia, Intertek Testing Services and Societe Generale de Surveillance.

Palm oil may rise further to 2,144 ringgit per tonne, as suggested by a projection analysis and a falling channel, Wang Tao, a Reuters market analyst for commodities and energy technicals, wrote in a report.
 Palm, sory and crude oil prices at 1021 GMT

Contract Month Last Change Low High Volume
MY PALM OIL JUN9 2049 -12 2040 2072 1249
MY PALM OIL JUL9 2080 -5 2065 2102 10303
MY PALM OIL AUG9 2096 0 2078 2112 26816
CHINA PALM OLEIN MAY9 4192 30 4192 4192 2
CHINA SOYOIL MAY9 5340 30 5326 5378 220
CBOT SOY OIL JUL9 27.57 -0.15 27.56 27.8 7299
INDIA PALM OIL MAY9 526 0 522.5 527 285
INDIA SOYOIL MAY9 761 -0.65 760.7 762.5 2000
NYMEX CRUDE JUN9 63.38 0.51 62.78 63.42 43863

 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
 India soy oil in Indian rupee per 10 kg
 Crude in U.S. dollars per barrel    

(US$1 = 4.1730 ringgit)