Malaysian Palm Oil Council Russia's Post

VEGOILS-Palm oil edges toward worst weekly session in six

JAKARTA, June 17 (Reuters) - Malaysian palm oil futures fell for a third straight day on Friday and was heading for the worst weekly session in six weeks, as rising Indonesian exports and an expectation of improving output dragged prices lower.

The benchmark palm oil contract FCPOc3 for September delivery on the Bursa Malaysia Derivatives Exchange fell 1.33% to 5,400 ringgit ($1,228.67) per tonne in early trade.

For the week, palm has declined 8.5% so far.

FUNDAMENTALS
The world's top palm oil exporter Indonesia has issued permits for shipment of more than 820,000 tonnes of the edible oil under its Domestic Market Obligation scheme and its export acceleration programme as of late Wednesday, a trade ministry official said.

Top vegetable oil importer India has reduced the base import prices of crude palm oil, soyoil, gold and silver, the government said late on Wednesday.

Dalian's most-active soyoil contract DBYcv1 fell 0.64%, while its palm oil contract DCPv1 fell 1.12%. Soyoil prices on the Chicago Board of Trade BOc2 were traded 0.39% higher.

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 hover above a support at 5,394 ringgit per tonne, or bounce into a range of 5,571-5,702 ringgit, Reuters technical analyst Wang Tao said.

MARKET NEWS
World stocks on Friday headed for their worst week since markets' pandemic meltdown in March 2020, as investors feared sharp rate hikes tipping economies into recession, while growth fears and a soaring Swiss franc whacked the U.S. dollar.
By: via Malaysian Palm Oil Council Russia