Palm oil had since gained 4.6% this week: Phillip Futures Palm - TopicsExpress



          

Palm oil had since gained 4.6% this week: Phillip Futures Palm oil prices continued to inch in as it approaches the 2500 resistance level. It had since gained 4.6% this week amid concerns over poor soybean yield forecast. Fundamental News The benchmark Crude Palm Oil November contract on the Bursa Malaysia Derivatives Exchange closed higher at 2481 Ringgit per metric ton, 1.18% or 29 Ringgit higher compared to previous trading day. Palm oil prices continued to inch in as it approaches the 2500 resistance level. It had since gained 4.6% this week amid concerns over poor soybean yield forecast. Palm oil prices had moved in tandem with soybean and soybean oil prices. US soybean contract for December rose 0.2% while US soybean oil rose 0.58%. The current price level may induce profit-taking, contributing to the downward pressure in palm oil price. Lower than expected output during the palm oil high production cycle in Malaysia is likely to keep prices supported. Indonesia had lately revised the palm oil export tax for September from 10.5% to 9%. In addition, the weak rupiah had also kept Indonesia palm oil prices competitive. As such, investors may switch their demand from Malaysia to Indonesia palm oil, causing demand for Malaysia palm oil to fall.
Posted on: Thu, 29 Aug 2013 02:50:49 +0000

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