Malaysian Palm Oil Council Russia's Post

VEGOILS-Palm gains 3% as Russia-Ukraine war prolongs global supply concerns

KUALA LUMPUR, April 14 (Reuters) - Malaysian palm oil futures jumped 3% early Thursday, tracking strength in global vegetable oil prices supported by lingering tight supply outlook as the Russia-Ukraine war rages on.

The benchmark palm oil contract FCPOc3 for June delivery on the Bursa Malaysia Derivatives Exchange gained 151 ringgit, or 2.46%, to 6,286 ringgit ($1,488.16) a tonne during early trade, rising for a fourth session in five.

FUNDAMENTALS
Argentine grain-truck drivers, industry groups and government officials failed to make a breakthrough in talks on Wednesday to end a strike, raising a threat to corn and soy exports during the key harvest season.

Soyoil prices on the Chicago Board of Trade BOcv1 were up 0.7%, extending a 3.5% overnight gain. Dalian's most-active soyoil contract DBYcv1 rose 1.5%, while its palm oil contract DCPcv1 gained 3%.

Palm oil is affected by price movements in related oils as they compete for a share in the global vegetable oils market.

Palm oil may test a resistance at 6,326 ringgit a tonne, a break above could lead to a gain into 6,454-6,548 ringgit range, Reuters technical analyst Wang Tao said.

MARKET NEWS
Asian shares tracked Wall Street higher on Thursday, while U.S. Treasury yields steadied and dollar retreated, as latest U.S. data raised hopes that inflation may be close to peaking, though several major central banks raised rates aggressively.

Oil futures were down slightly, after rising sharply in the first half of the week, as traders weighed a larger-than-expected build in U.S. oil stocks against tightening global supply.
By: via Malaysian Palm Oil Council Russia