Most Dallied soyaoil futures extended their rise to end at all-time highs on Tuesday, helped by Malaysia palm oil futures that hit records due to tight supplies. Almost all contracts closed up on Tuesday, except for the most active September contract, which gave up gains to end down 0.2 percent at 7,772 yuan ($1,016) per tonne.
In Kuala Lumpur, Malaysian crude palm futures climbed almost 2 percent on Tuesday after bullish comments from a leading industry analyst. Most of China's physical soyaoil prices were little changed after on Monday's rise of up to 9 percent to records of 8,300-8,700 yuan per tonne.
"Some have reduced their positions, prompting the price to fall as prices had climbed to as high as 8,000 yuan per tonne," said Sun Minato, an analyst with Star Futures Co Physical rapeseed oil prices rose to an all-time high this week on worries over a possible shortage. The prices for the top-grade refined rapeseed oil climbed to above 9,000 yuan per tonne, a rise of between 400 yuan to 500 yuan per tonne from Monday.
"Crushers, worried over a shortage, were snapping up rapeseed, pushing prices higher and higher," said Zhang Lewis, an analyst with the China National Grain and Oils Information Centre. The market was expecting the country to harvest 21 percent less rapeseed this year, below 10 million tonnes, said Zhang.