Palm oil on the European vegetable oils market eased slightly on Thursday due to a weaker ringgit, while talk of lower production during the first 10 days of November limited losses. "There was talk that the Southern Peninsula Palm Oil Millers' Association estimated palm oil products for November 1-10 at some 30 percent down compared to last month. It did influence Malaysian palm oil futures more than it hit the cash market. Ringgit and dollar were the main reasons for prices to move here today," one broker said.
Palm oil was mostly offered between unchanged and $7.50 a tonne down from Wednesday after Malaysian palm oil futures closed between three ringgit per tonne down and 12 ringgit up as industry data showing declining production lent support. A weak dollar, which underpins prices quoted in the currency, limited losses caused by the weak ringgit, which makes palm oil cheaper for players holding foreign currencies.
At 1730 GMT CBOT soyaoil futures were between 0.09 and 0.28 cents per lb higher on technical buying with good crop weather in Brazil and weak energy markets limiting gains. EU rapeoil was offered between two euros per tonne down and two up from Wednesday, partly tracking the trend in Chicago soyaoil, while weakness in rapeseed futures and energy markets weighed on prices as did the weak dollar, which pressures euro-priced products. Lauric oils were offered between $5 and $10 a tonne up from Wednesday because of the weaker dollar and due to slack demand. Coconut oil made a premium of around $300 a tonne over palmkernel oil.