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Indian May soyaoil futures erased early gains and was almost steady on Monday afternoon on profit-taking after eight winning sessions but a strong Malaysian palm oil market supported prices, analysts said. At 2:17 pm, (0847 GMT), the April contract was up 0.38 percent at 485.5 rupees ($9.7) per 10 kg on the National Commodity and Derivatives Exchange.
The contract had earlier hit a new high of 492.6 rupees. The benchmark May contract was almost steady at 484.6 rupees. The contract has gained more than 9 percent in last eight sessions. However, a rise in spot demand and firm Malaysian palm oil market supported the local prices, analysts said.
The benchmark June contract on the Bursa Malaysia Derivatives Exchange rose 3.31 percent to 2,375 ringgit per tonne at 0851 GMT. The contract touched a 7-month high supported as strong data on exports fanned hopes for further drop in palm stocks in the worlds second largest producer.

Copyright Reuters, 2009

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