European vegoils ease with CBOT on Argentine rain

ROTTERDAM: Liquid oils on the European vegetable oil market dipped on Monday with CBOT soycomplex futures as some rainfall in Argentina and disappointing weekly US soybean exports, which led to technical selling.

"Asking prices dipped on beneficial good weather in Argentine and good harvest pace in Brazil. Sellers were willing to move from their positions, but buyers remained mostly cautious, waiting to feel a bottom with a bumper South American soybean crop ahead," one broker said.

At 1700 GMT CBOT soyoil was between 0.37 and 0.62 cents per lb down on follow-through technical selling on Argentine weather and lower than expected weekly US soybean exports.

Liquid oils - soyoil, sunoil and rapeoil - were offered between 15 and 27 euros per tonne down from Friday in sympathy with CBOT soyoil and because of weaker rapeseed futures, which eased in sympathy with US soybeans.

May/July EU rapeoil changed hands between 900 and 892 euros per tonne fob exmill, down 17 euros from Friday, Aug/Oct traded 14 euros down at 881 euros and Nov/Jan fetched 890 euros, down eight euros.

EU sunoil traded at $1,235 a tonne extank for April/June, down $17.50 from Friday.

Palm oil was offered between $15 and $20 a tonne down from Friday after Malaysian palm oil futures closed 56 and 73 ringgit per tonne down in sympathy with rival soyoil, but with underlying hopes that slightly optimistic export numbers for the first 25 days of February could lead to a reduction in still huge palm oil stocks.

April/June RBD palm olein traded $20 a tonne down from Friday at between $830 and $835 a tonne fob Malaysia, July/Sept changed hands between $835 and $842.50, down $14 and Oct/Dec traded $25 down at $842.50.

Lauric oils were quoted between unchanged and $10 a tonne down from Friday in sympathy with palm oil, but a weak dollar during most of the day underpinned dollar-priced products. Buyers showed little interest and no deals were reported.