ROTTERDAM: Palm oil on the European vegetable oils market eased on Thursday as Malaysian palm oil futures dropped on concerns over growing stockpiles and weak demand. “It looks like Malaysian palm oil production is going to outpace exports again in December, leading to a further increase in already huge stocks,” one broker said.
Asking prices for palm oil were between $5 and $17.50 a tonne down after Malaysian palm oil futures closed mostly between six and 50 ringgit per tonne lower. Continued bearish sentiment and weakness in rival oils also aided to some stop-loss selling in futures.
At 1830 GMT CBOT soyoil futures were between 0.23 and 0.31 cents per lb down, tracking weaker Chicago soybeans on the back of crop-boosting rains in South American soybean growing areas and on concerns about lagging US exports.
EU rapeoil was mostly offered between one and five euros per tonne down from Wednesday, tracking losses in CBOT soyoil futures and pressured by a weaker dollar, which weighs on euro-priced products. A mild rebound in rapeseed futures limited losses somewhat.
Lauric oils were offered between $35 and $50 a tonne lower, tracking weaker palm oil and because of seller’s attempts to find buying interest. The spread between coconut oil and the cheaper palmkernel oil was $180 a tonne for February/March shipment.
Source: Brecorder.com
