JAKARTA: Malaysian palm oil futures posted a second straight weekly gain on Friday, underpinned by stronger rival vegetable oils, despite weak export data.
The benchmark palm oil contract for November delivery on the Bursa Malaysia Derivatives Exchange gained 82 ringgit, or 2.11%, to 3,963 ringgit ($854.46) per metric ton when the market closed on Friday.
The contract was up 2.38% for the week, extending 4.1% gains from last week.
Hot and dry weather in the United States, which is likely to trim soybean output, and possible Chinese demand next week are supporting the price, said a Kuala Lumpur-based trader.
Dalian’s most-active soyoil contract was up 2.51%, while its palm oil contract grew 1.2%. Soyoil prices on the Chicago Board of Trade (CBOT) surged 1.38%.
Palm oil is affected by price movements in related oils as they compete for a share in the global vegetable oils market.
Export of Malaysian palm oil products for August 1-25 is seen falling between 4.3% and 7.8% from July 1-25 period, independent inspection company AmSpec Agri Malaysia and cargo surveyor Intertek Testing Services said on Friday.
Indonesia’s palm oil exports, including refined products, in June stood at 3.45 million tons, while the stock by the end of June was at 3.69 million tons, data from the Indonesian Palm Oil Association showed.
Comments
Comments are closed.