[ad_1]
KUALA LUMPUR, Aug 15 (Reuters) – Malaysian palm oil futures fell on Monday from a six-week closing high hit in the previous session, weighed down by weakness in rival soyoil after a U.S. government report raised the country’s soybean forecast.
The benchmark palm oil contract FCPOc3 for October delivery on the Bursa Malaysia Derivatives Exchange slid 95 ringgit, or 2.16%, to 4,312 ringgit ($968.34) a tonne during early trade.
FUNDAMENTALS
* U.S. soybean production will be bigger than previously forecast as better-than-expected yields will more than make up for a cut to acreage, the government said on Friday.
* Soyoil prices on the Chicago Board of Trade BOcv1 were down 2.1%. Dalian’s most-active soyoil contract DBYcv1 fell 0.4%, while its palm oil contract DCPcv1 rose 0.4%.
* Palm oil is affected by price movements in related oils as they compete for a share in the global vegetable oils market.
* Palm oil faces a resistance at 4,452 ringgit per tonne, it may hover below this level or retrace towards a support at 4,269 ringgit, Reuters technical analyst Wang Tao said. TECH/C
MARKET NEWS
* Asian shares turned mixed after China’s central bank trimmed key lending rates as a raft of economic data missed forecasts, underlining the need for more stimulus to support the world’s second largest economy. MKTS/GLOB
DATA/EVENTS (GMT)
0200 China Urban Investment (YTD) YY
0200 China Retail Sales YY
0200 China Unemp Rate Urban Area
1100 EU Reserve Assets Total
($1 = 4.4530 ringgit)
(Reporting by Mei Mei Chu; Editing by Rashmi Aich)
((Meifong.chu@thomsonreuters.com))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
[ad_2]
Source link
