Mumbai, 05 Nov (Commoditiescontrol): Malaysian crude palm oil (CPO) futures opened lower on Tuesday, ending a four-day winning streak as prices were pressured by weaker soyoil prices on the Dalian Commodity Exchange and a stronger ringgit.
The benchmark January palm oil contract on the Bursa Malaysia Derivatives Exchange declined by 23 ringgit, or 0.47%, to 4,868 ringgit ($1,115.23) per metric ton in early trade.
In China, the Dalian soyoil contract slipped 0.18%, although its palm oil counterpart gained 0.35%. Meanwhile, U.S. soyoil prices on the Chicago Board of Trade rose 0.24%. Palm oil prices often track competing edible oils as they vie for a share of the global vegetable oils market.
The ringgit appreciated 0.11% against the U.S. dollar, making palm oil more costly for international buyers. Meanwhile, oil prices softened after recent gains, as markets awaited U.S. election results. This dip in crude prices makes palm oil less competitive as a biodiesel feedstock.
Malaysian palm oil exports rose between 11.5% and 13.7% in October, according to cargo surveyor estimates, reflecting increased demand. Meanwhile, Indonesia raised its November reference price for CPO to $961.97 per ton, up from October’s $893.64, setting the November export tax at $124 per ton.
Technical analysis suggests palm oil prices may pull back to the 4,747–4,791 ringgit range, after failing to break resistance at 4,883 ringgit.
(By Commoditiescontrol Bureau: 09820130172)
0 Comments 
Post Comment 
