Malaysian palm oil reversed the gains made over the week to fall on Friday evening as traders were bearish on slowing demand amid high palm stockpiles. The January benchmark palm oil contract on the Bursa Malaysia Derivatives Exchange lost 0.3 percent at the end of the trading day, reaching 2,362 ringgit ($550.33) a tonne.
"Pressure on the market is still there as stocks from refiners build up and due to India and China's slowdown," said a trader based in Kuala Lumpur.
"Since Friday is a weekly closing, a bit of profit-taking will also be there."
Traded volume stood at 55,013 lots of 25 tonnes each, well above the average 35,000 lots usually traded in a day.
Malaysian exports for October are expected to be bearish pending data release from cargo surveyors on Saturday, as demand from top consumers India and China is expected to slow. Traders say India has already stocked up for the upcoming Diwali celebrations, while demand from China will cool on an economic slowdown.
In competing vegetable oil markets, the US December soyoil contract rose 0.4 percent while the January soybean oil contract on the Dalian Commodity Exchange fell 0.3 percent.
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