Palm oil on the European vegetable oils market was offered firmer on Friday, following gains in Malaysian palm oil futures on an outlook for weaker production. Asking prices for palm oil were between $2.50 and $12.50 a tonne up from Thursday, after Malaysian palm oil futures closed between 12 and 29 ringgit per tonne higher as the bullish production outlook triggered bargain buying.
At 1600 GMT, CBOT soyaoil futures were between 0.12 and 0.28 cents per lb on technical buying and short-covering. A rally in energy markets also supported soyaoil futures. EU rapeoil was quoted between four and six euros per tonne higher, tracking firmer soyaoil futures and underpinned by strong energy prices, which could boost demand for vegetable oils from biodiesel producers. Lauric oils were offered between $7.50 and $40 a tonne higher on lack of aggressive sellers and because of gains in palm oil. A weaker dollar also underpinned prices quoted in the currency. Buyers were scarce.