Palm oil on the European vegetable oils market eased on Tuesday, tracking easier Malaysian palm oil futures, which edged lower because of weakness in global financial markets. Asking prices for palm oil were between unchanged and $7.50 a tonne lower, also in response to a weaker ringgit. Malaysian palm oil futures closed between six and 19 ringgit per tonne down.
"Many had expected palm oil futures to rise as often when speculators step out of equities they put money in commodities," one broker said. At 1730 GMT, CBOT soyaoil futures were between 0.37 and 0.78 cents per lb higher, tracking technical buying in Chicago soyabean futures and because of concerns that rains forecast for the Argentine soyabean belt will not be sufficient to beef up yields. EU rapeoil was quoted five euros per tonne higher, following the stronger trend in gains in CBOT soyaoil futures and supported by strength in rapeseed futures, which tracked gains Chicago soyabeans.
Lauric oils were mostly offered between $15 and $35 a tonne lower, following easier palm oil and pressured by a weaker ringgit. In coconut oil, sellers for nearby material withdrew after April/May shipment traded at $1,230 a tonne, well under initial asking prices.