Malaysian Palm Oil Council Russia's Post

VEGOILS-Palm oil rallies for sixth day, tracking soyoil and crude

KUALA LUMPUR, Oct 6 (Reuters) - Malaysian palm oil futures jumped 4% early Thursday, rising for a sixth consecutive session, tracking a rally in Chicago soyoil as well as crude oil prices.

The benchmark palm oil contract FCPOc3 for December delivery on the Bursa Malaysia Derivatives Exchange gained 160 ringgit, or 4.39%, to 3,802 ringgit ($821.34) a tonne during early trade.

FUNDAMENTALS
Oil prices rose for a fourth session, with Brent at a three-week high, after OPEC+ agreed to further tighten global crude supply with a deal to slash production by about 2 million barrel per day, the largest reduction since 2020.

Stronger crude oil futures make palm a more attractive option for biodiesel feedstock.

Soyoil prices on the Chicago Board of Trade BOcv1 rose 0.3%, up for a fourth day. The Dalian exchange was closed for the week for holidays.

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

Palm oil still targets a range of 3,824-3,919 ringgit per tonne, as the uptrend from 3,220 ringgit consists of five waves, Reuters technical analyst Wang Tao said.

MARKET NEWS
Asian shares were cautiously higher on Thursday, while the dollar eased ahead of U.S. non-farm payrolls data, and oil prices gained after deep production cuts pledged by OPEC+ members.
By: via Malaysian Palm Oil Council Russia