Palm oil gains tracking rival oils, higher crude prices
The benchmark palm oil contract for September delivery on the Bursa Malaysia Derivatives Exchange gained 58 ringgit, or 1.39%, to 4,232 ringgit ($995.76) a metric ton at the close.
'Prices are supported by firm crude oil, which continues to bolster edible oil markets globally,' Darren Lim, commodities strategist at Singapore-based brokerage Phillip Nova, said.
'The slight weakness in the ringgit has also sustained buying interest, making Malaysian palm oil more competitive internationally.'
Dalian's most-active soyoil contract increased 0.3%, while its palm oil contract gained 0.71%. Soyoil prices on the Chicago Board of Trade rose 0.8%.
Palm oil tracks the price movements of rival edible oils as it competes for a share of the global vegetable oils market.
Oil prices rose on Monday and reached their highest level in three weeks, as investors eyed further U.S. sanctions on Russia that may affect global supplies, while higher oil imports by China also offered support.
Palm rises for two consecutive weeks on stronger rival oils
Stronger crude oil futures make palm a more attractive option for biodiesel feedstock.
The ringgit, palm's currency of trade, slightly weakened 0.02% against the dollar, making the commodity cheaper for buyers holding foreign currencies.
India's palm oil imports jumped to an 11-month high in June as refiners ramped up purchases due to a price discount compared to rival soyoil and sunflower oil, and to replenish depleted inventories, an industry body said on Monday.
Malaysia's palm oil stocks rose 2.41% to an 18-month high of 2.03 million tons at the end of June, industry regulator data showed.
Exports of Malaysian palm oil products during July 1-10 were estimated to have risen between 5.3% and 12% from a month earlier, according to data from cargo surveyor Intertek Testing Services and inspection company AmSpec Agri Malaysia.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Business Recorder
7 hours ago
- Business Recorder
Palm oil gains tracking rival oils, higher crude prices
Malaysian palm oil futures closed higher on Monday, tracking stronger rival edible oils and higher crude prices, and also supported by a weaker ringgit. The benchmark palm oil contract for September delivery on the Bursa Malaysia Derivatives Exchange gained 58 ringgit, or 1.39%, to 4,232 ringgit ($995.76) a metric ton at the close. 'Prices are supported by firm crude oil, which continues to bolster edible oil markets globally,' Darren Lim, commodities strategist at Singapore-based brokerage Phillip Nova, said. 'The slight weakness in the ringgit has also sustained buying interest, making Malaysian palm oil more competitive internationally.' Dalian's most-active soyoil contract increased 0.3%, while its palm oil contract gained 0.71%. Soyoil prices on the Chicago Board of Trade rose 0.8%. Palm oil tracks the price movements of rival edible oils as it competes for a share of the global vegetable oils market. Oil prices rose on Monday and reached their highest level in three weeks, as investors eyed further U.S. sanctions on Russia that may affect global supplies, while higher oil imports by China also offered support. Palm rises for two consecutive weeks on stronger rival oils Stronger crude oil futures make palm a more attractive option for biodiesel feedstock. The ringgit, palm's currency of trade, slightly weakened 0.02% against the dollar, making the commodity cheaper for buyers holding foreign currencies. India's palm oil imports jumped to an 11-month high in June as refiners ramped up purchases due to a price discount compared to rival soyoil and sunflower oil, and to replenish depleted inventories, an industry body said on Monday. Malaysia's palm oil stocks rose 2.41% to an 18-month high of 2.03 million tons at the end of June, industry regulator data showed. Exports of Malaysian palm oil products during July 1-10 were estimated to have risen between 5.3% and 12% from a month earlier, according to data from cargo surveyor Intertek Testing Services and inspection company AmSpec Agri Malaysia.
Business Recorder
10 hours ago
- Business Recorder
India's June palm oil imports jump 60% to hit 11-month high
MUMBAI: India's palm oil imports jumped to an 11-month high in June as refiners ramped up purchases due to a price discount compared to rival soyoil and sunflower oil, and to replenish depleted inventories, an industry body said on Monday. Higher palm oil imports by India, the world's biggest buyer of vegetable oils, will help bring down stocks in top producers Indonesia and Malaysia and support benchmark Malaysian palm oil futures. Palm oil imports in June rose more than 60% from May to 955,683 metric tons, the highest since July 2024, the Solvent Extractors' Association of India (SEA) said. Imports of soyoil decreased 9.8% to 359,504 tons and sunflower oil imports rose 17.8% to 216,141 tons, the industry body said. Domestic vegetable oil stocks rose for the first time in seven months to 1.568 million tons on July 1, up from last month's 1.33 million tons, which was the lowest level in nearly five years, it said. India's May palm oil imports jump 87% to six-month high, dealers say Palm oil imports are likely to remain above 900,000 tons for the second straight month in July as the oil is available at a discount to rival oils, said Rajesh Patel, managing partner at GGN Research, an edible oil trader. Soyoil imports would likely increase to approximately 450,000 tons in July, as vessels that were unable to unload at Kandla port in the western state of Gujarat during June were expected to discharge their cargo this month, Patel said. India buys palm oil mainly from Indonesia and Malaysia, while it imports soyoil and sunflower oil from Argentina, Brazil, Russia and Ukraine. In May, India halved the basic import tax on crude edible oils to 10% in a bid to reduce food prices and help the domestic refining industry.
Business Recorder
12 hours ago
- Business Recorder
Copper prices rangebound amid US trade talks, 50% metal tariff
SINGAPORE: Copper prices on the London Metal Exchange and the Shanghai Futures Exchange were rangebound on Monday as investors assessed the impact of trade talks between the U.S. and its major partners and a 50% import tariff on the metal. Three-month copper on the LME inched up 0.07% to $9,667.5 per metric ton by 0104 GMT, while the most-traded copper contract on the SHFE fell 0.37% to 78,240 yuan ($10,915.03). U.S. President Donald Trump said on Saturday he would impose a 30% tariff on most imports from the EU and Mexico from August 1, adding to similar warnings for other countries and leaving them less than three weeks to hammer out framework deals that could lower the threatened tariff rate. This follows a 50% tariff imposed on copper imports, which will also be effective on August 1. 'It's uncertain where copper demand will go with all these tariffs. The U.S. has imported quite a lot of copper before the tariff announcement, so we're wondering whether China, as the largest consumer and producer, will stock up some too, as it is crucial to the military and economy,' a Shanghai-based metals analyst at a futures company said. US copper bounces after Trump sets a tariff date, but below peak Copper inventories in SHFE-monitered warehouses remained low, down 4% on-week at 81,462 tons as of July 11. Meanwhile, China will release trade data for June and for January-June on Monday, which will probably be positive news with the frontloading amid tariff uncertainties, a Beijing-based metals analyst at a futures company said. LME nickel shed 0.55% to $15,115 a ton, aluminium fell 0.54% to $2,589, and tin eased 0.29% to $33,550. SHFE aluminium fell 1.16% to 20,475 yuan a ton, zinc slipped 0.89% to 22,220 yuan, nickel dropped 0.78% to 120,240 yuan, lead eased 0.44% to 17,030 yuan, and tin was down 0.43% at 264,500 yuan.
