23/04/2008 (Daily Times, Pakistan), Kuala Lumpur - Malaysian crude palm oil futures rose on Tuesday, pulling back from near two-week lows hit earlier in the session as soyoil prices gained momentum in Asian trade.
But conflicting views over the trend of palm oil exports kept trade volatile and prices weak, traders said. Palm oil prices have gained 14 percent this year but tumbled roughly 22 percent from a record 4,486 ringgit last month.
By the midday break, the benchmark July contract on Bursa Malaysia Derivatives Exchange had gained 23 ringgit to 3,482 ringgit ($1,109) per tonne after going as low as 3,385 ringgit, a level not seen since April 10.
Other traded months rose between 11 and 62 ringgit, except the May contract, which fell 17 ringgit. Overall trade stood at 3,122 lots of 25 tonnes each.
May soyoil at the Chicago Board of Trade gained 0.17 cents per pound in Asian trade after closing down 1.99 cents at 59.99 cents overnight following the sell-off in corn due to an improved outlook for planting, traders said. But the most-active September soyoil contract in China’s Dalian Commodity Exchange fell 1.2 percent.
Some traders say palm oil demand failed to meet expectations as a stronger ringgit might have prevented consuming nations China and India from chasing purchases. In Malaysia’s physical market, crude palm oil for April shipment in the southern region was quoted at 3,450/3,470 ringgit a tonne. Trades were unquoted by the end of the morning session. -Reuters-