Malaysian Palm Oil Council Russia's Post

VEGOILS-Palm extends gains after Indonesia limits exports

JAKARTA, Jan 28 (Reuters) - Malaysian palm oil futures extended gains on Friday to a fourth session, putting the benchmark contract on course for a sixth straight weekly rise, as top producer Indonesia limited exports.

The benchmark palm oil contract FCPOc3 for April delivery on the Bursa Malaysia Derivatives Exchange gained 0.92% to 5,494 ringgit ($1,309.03) per tonne in early trade. It had gained 0.77% in overnight trade.

FUNDAMENTALS
Indonesia, the world's biggest palm oil producer and exporter, on Thursday announced a 20% mandatory domestic sales for palm oil in a bid to cool down local cooking oil prices.

Meanwhile, Indonesia is expected to produce 49 million tonnes of crude palm oil in 2022, compared with estimated 46.89 million tonnes in 2021, the Indonesia Palm Oil Association said.

Dalian's most-active soyoil contract DBYcv1 rose 2.04%, while its palm oil contract DCPcv1 gained 1.55%. Soyoil prices on the Chicago Board of Trade BOcv1 were up 0.26%.

Palm oil may test a resistance at 5,585 ringgit per tonne, a break above which could lead to a gain into the 5,608-5,676 ringgit range, Reuters technical analyst Wang Tao said.

MARKET NEWS
Asian stocks recovered some of their steep losses from the previous session on Friday after U.S. markets limited further declines from hawkish U.S. Fed comments, supported by a firm economy and strong earnings at Apple Inc.

Oil prices fell on Thursday after Brent crude hit a seven-year high above $90 a barrel, as the market balanced concerns about tight worldwide supply with expectations the U.S. Federal Reserve will soon tighten monetary policy.

Chicago wheat prices nosed higher in quiet trade on Friday, while corn and soybeans held their ground close to recent multi-month highs.
By: via Malaysian Palm Oil Council Russia