Palm reverses gains made from earlier soyoil strength

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KUALA LUMPUR (June 7): Malaysian palm oil futures edged lower in early trade on Friday, reversing some gains made when tracking soyoil recovery on the US Chicago Board of Trade (CBOT) in the previous session.

Benchmark palm oil contract for August delivery on the Bursa Malaysia Derivatives Exchange was last down 0.2% at RM2,051 (US$493.38) per tonne.

FUNDAMENTALS
* US wheat futures edged lower on Friday, though concerns about lower production in major exporters pushed the grain towards its fourth straight weekly gain.

* Oil prices rose around 1% on Friday to move further away from five-month lows hit earlier in the week, buoyed by a report that Washington could postpone trade tariffs on Mexico and signs that OPEC and other producers may extend crude supply cuts.

MARKET NEWS
* Asian share markets dithered on Friday as investors waited for concrete signs of progress in the US-Mexican trade standoff, while bracing for a US jobs report that could sway the course of interest rates there.

* The dollar was under pressure and was poised for its worst weekly performance for the year, as investors waited on a key US jobs report that is expected to back expectations for a near-term Federal Reserve rate cut to support a slowing economy.

* Wall Street's main indexes closed higher after a choppy session on Thursday as investors grew more optimistic on trade after reports that the United States is considering a delay in imposing tariffs on Mexican imports.