Mumbai, 19 Jul (Commoditiescontrol): Malaysian crude palm oil (CPO) futures remained relatively unchanged on Friday, as gains in Dalian and Chicago soyoil contracts counterbalanced weaker crude oil prices. By 0246 GMT, the benchmark palm oil contract for October delivery on the Bursa Malaysia Derivatives Exchange had edged up 0.05% to 3,939 ringgit ($842.57) per metric ton.
Dalian's most-active soyoil contract rose 1.23%, while its palm oil contract dipped 0.15%. On the Chicago Board of Trade, soyoil prices increased by 0.41%. Palm oil prices are influenced by movements in related edible oils, as they vie for a share of the global vegetable oils market. Traders closely monitor these rival oils for market cues.
Conversely, oil prices fell and were on track for a second consecutive weekly decline, influenced by mixed economic signals that dampened investor sentiment and strengthened the dollar. Brent crude dropped 55 cents, or 0.65%, to $84.56 a barrel by 0239 GMT. Lower crude oil futures make palm oil a less attractive option for biodiesel production.
The ringgit, palm oil's trading currency, weakened by 0.21% against the dollar, making palm oil cheaper for buyers using other currencies. Additionally, Malaysia kept its August export tax for crude palm oil at 8.0% and increased its reference price, as indicated by a circular on the Malaysian Palm Oil Board's website.
Technical analysis suggests palm oil may breach support at 3,913 ringgit per metric ton and decline to a range of 3,851-3,873 ringgit.
In summary, despite mixed influences from related edible oil markets and crude oil prices, Malaysian palm oil futures remained steady, reflecting a balanced market response to varied economic signals and currency fluctuations.
(By Commoditiescontrol Bureau: 09820130172)
0 Comments 
Post Comment 
