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Indian soyoil futures fell on Wednesday, tracking sluggish demand in the physical market and a drop in rival Malaysian palm oil futures. At 2:20 pm (0850 GMT), the October futures contract on the National Commodity and Derivatives Exchange was down 0.29 percent at 487 rupees ($12.3) per 10 kg.
The November contract fell 0.55 percent to 487.05 rupees. Traders said there was resistance in the physical market after prices rose 1.7 percent in about a week, and on hopes large new crop arrivals would push prices lower. Refined soyoil prices in the central state of Madhya Pradesh eased 0.21 percent to 47,000 rupees per tonne.
The benchmark January palm oil futures on the Bursa Malaysia Derivatives Exchange fell 1.7 percent to 2,721 ringgit ($800.3), a day after climbing to a record. Palm oil and soyoil are related commodities with similar markets and their prices often move in tandem.

Copyright Reuters, 2007

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