Malaysian crude palm oil futures ended down on Thursday, surrendering gains, as a dearth of leads pushed players to sell by the close after hiking up prices in the morning. Trade was also light at 4,237 lots 25 tonnes each, compared with Wednesday's tally of 6,773 lots. The benchmark third-month contract, February, ended 4 ringgit, or 0.3 percent, down at 1,415 ringgit ($372.37) a tonne.
It fell as much as four ringgit to touch a low of 1,415, and then rose six ringgit to a peak of 1,425. The broader futures market was down 2 to 6 ringgit. "It was basically a direction's market," said a trader. Soyaoil and palm oil compete for the same export destinations and their prices often move in step. Soyaoil futures on the Chicago Board of Trade closed 0.15 to 0.31 cent a lb down on Wednesday.
Going forward, dealers said the market was expected to remain in a tight range until leading forecaster Ivan Wong releases on December 7 his latest outlook on supply and demand of palm oil.
Two cargo surveyors watched by the market are also due to release next week export estimates of palm oil for December 1-10.
Society Generale de Surveillance, the main surveyor of Malaysian oil palm cargoes, has estimated exports for November at 1,095,099 tonnes, down 10.8 percent from the 1,227,363 tonnes it tracked for October.
Physical prices of crude palm oil were also down at Thursday's close. Physical oil for December saw bids/offers closing at 1,450/1,455 ringgit a tonne in Malaysia's southern and central regions, against on Wednesday's 1,455/1,465.
Trades were reported at 1,450-1,447.50 ringgit in both regions. Physical oil for January saw buyers at 1,445 ringgit a tonne and sellers at 1,455 unchanged from Wednesday. No deals were reported.
PALM OIL FUTURES:
December (south): 1455.
Open/High/Low: 1415/1425/1412.
Previous closes: 1465.
PALM OIL PHYSICALS:
February (3rd month): 1415.
Previous settlement: 1419.
FUTURES:
Benchmark February down 4 ringgit or 0.3 percent to 1,415 ringgit ($372.37) a tonne.
PHYSICALS: December offers down 10 ringgit a tonne.
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