Malaysian Palm Oil Council Russia's Post

​VEGOILS-Palm extends losses on weakness in rival oils

JAKARTA, Sept 19 (Reuters) - Malaysian palm oil futures opened lower on Tuesday, extending losses for a second session, weighed down by losses in rival vegetable oils.

The benchmark palm oil contract FCPOc3 for December delivery on the Bursa Malaysia Derivatives Exchange lost 43 ringgit, or 1.15%, to 3,706 ringgit ($790.36) per metric ton in the early trade.

FUNDAMENTALS
Dalian's most-active soyoil contract DBYcv1 was down 1.68%, while its palm oil contract DCPcv1 lost 1.47%. Soyoil prices on the Chicago Board of Trade BOc2 declined 0.62%.

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

Indonesia set its crude palm oil reference price at $798.83 per ton for Sept. 16-30, down from the first half of the month. However, the export tax and levy were left unchanged at $33 per ton and $85 per ton, respectively.

China will increase its imports of Malaysian palm oil by 250,000 tons a year, state news agency Bernama reported on Sunday, citing Malaysian Prime Minister Anwar Ibrahim.

Exports of Malaysian palm oil products for Sept. 1-15 fell 9.3% from a month earlier to 574,936 tons, independent inspection company AmSpec Agri Malaysia said Friday last week.

Palm oil FCPOc3 may revisit its Sept. 12 low of 3,667 ringgit per ton, as it may have completed a bounce from this level, according to Reuters' technical analyst Wang Tao.

MARKET NEWS
Global equities slid and the 10-year Treasury yield traded close to a 16-year high on Monday amid rising concerns that the Federal Reserve's higher-for-longer message on interest rates will take a toll on U.S. consumers.

Oil prices rose in early trade for the fourth consecutive session, as weak shale output in the U.S. spurred further concerns about a supply deficit stemming from extended production cuts by Saudi Arabia an Russia.
By: via Malaysian Palm Oil Council Russia