Malaysian Palm Oil Council Russia's Post

VEGOILS-Palm oil surrenders sharp gains on poor demand, exports

KUALA LUMPUR, May 3 (Reuters) - Malaysian palm oil futures fell on Wednesday, giving up sharp gains clocked in the previous session, as sluggish export shipments and poor demand weighed on prices.

The benchmark palm oil contract FCPOc3 for July delivery on the Bursa Malaysia Derivatives Exchange lost 35 ringgit, or 1.02%, to 3,386 ringgit ($759.70) a tonne during early trade. The contract rose 2.5% in the previous session.

FUNDAMENTALS
Malaysia's palm oil exports during April declined 18% from the month before, cargo surveyor Intertek Testing Services said on Monday. Another cargo surveyor, AmSpec Agri Malaysia, recorded a 21% decline in shipments.

Unattractive palm prices versus rival vegetable oils and well-stocked destination markets have curtailed buying appetite for palm oil, Refinitiv Agriculture Research said in a note late Tuesday.

Soyoil prices on the Chicago Board of Trade BOcv1 fell 0.3%. The Dalian exchange was closed for a public holiday.

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

MARKET NEWS
Asian stocks fell for a second day on Wednesday, as global investors contended with signs of a softening U.S. economy, and were in full flight from U.S. regional lenders, ahead of an expected U.S. interest rate hike later in the day.
By: via Malaysian Palm Oil Council Russia