Malaysian crude palm oil futures closed down 1.2 percent on Tuesday as players booked profits after three straight days of gains. Dealers said the market was waiting for February export numbers to be released by cargo surveyors on Wednesday.
The benchmark third-month may contract on the Bursar Malaysia Derivatives exchange finished down 24 ringgit, or 1.2 percent, at 1,951 ringgit ($558) a tonne. "It is purely profit-taking after three days of increase," a dealer said. Other contracts fell between 11 and 24 ringgit. Overall volume stood at 11,467 lots of 25 tonnes each.
"Some players want to take a look at tomorrow's export numbers for a clearer price direction," another trader said. The third-month is off an eight-year high of 2,062 ringgit reached in December when floods disrupted deliveries. Exports of Malaysian palm oil products for February 1-25 rose 1.4 percent to 726,152 tonnes from 716,388 tonnes shipped between January 1-25, cargo surveyor Interlake Testing Services said.
Another surveyor, Society General de Surveillance, said exports during the period rose 0.4 percent to 737,015 tonnes. The market bucked its usual trend of tracking the American soyaoil market, which closed firm on Monday. The Chicago Board of Trade soyaoil soared to a 2-1/2-year high and all months-made contract high when the crude oil market hovered near $62 a barrel.
March soyabean oil ended 0.32 cent per lb firmer at 30.71 cents, after rising to a contract top of 31.10 the highest price for a spot contract since July 2004. The back months settled 0.25 to 0.47, after making new highs in all months.
Malaysian palm oil usually follows the US soyaoil market because both commodities are used in products ranging from food and cosmetics to biodiesel. In Malaysia's physical market, crude palm oil for March shipment in the southern region was quoted at 1,960/1,970 ringgit per tonne. Trades were done between 1,960 and 1,977.50 ringgit a tonne.
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