Malaysian crude palm oil futures edged lower on Wednesday, with traders saying sharp moves are unlikely during the week and next due to a lack of new leads and as big buyer China will be on holiday. The benchmark December contract on the Bursa Malaysia Derivative Exchange shed 7 ringgit to 2,103 ringgit ($607.8) per tonne after going as high as 2,121 ringgit. On Monday, the market fell to 2,082 ringgit, a level unseen since September 14.
Reflecting the slowdown in buying from China before the holidays, cargo surveyor Intertek Testing Services reported a 7.8 percent decline in exports to 1,227,983 tonnes for September from a month ago. Another cargo surveyor, Societe Generale de Surveillance, showed a 2.2 percent drop to 1,269,337 tonnes in September compared to August.
Palm oil is below its 50-day moving average, which stood at the 2,238 ringgit a tonne level that many traders say is the mid-term resistance for the commodity. Global soyoil markets in Asian trade were mixed. US soyoil futures were pressured lower on prospects of a record soy crop. China soybean prices on the Dalian Commodity Exchange edged higher.
Bids for crude palm oil for September and October delivery were seen at 2,170 ringgit while offers stood at 2,180 ringgit for the southern region. Trades were done between 2,165 and 2,175 ringgit a tonne.
INDONESIA PALM TRADES: In Indonesia, the state marketing centre based in Jakarta, sold palm oil at a top price of 6,605 rupiah ($0.684) per kg against 6,601 rupiah a day earlier. Producers in Medan, home to Indonesia's main palm oil export port of Belawan, sold palm oil at 6,602-6,614 rupiah per kg against 6,575-6,610 rupiah on Tuesday. Refiners in Jakarta offered refined, bleached, deodorised (RBD) palm oil, used as cooking oil, at 6,800 rupiah per kg against 6,700 rupiah a day ago.
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