FCPO Benchmark Close Unchanged; Market Awaits Export DataCrude palm oil futures on Malaysia's derivatives exchange ended mostly steady Tuesday, supported by bad weather that may have slowed palm oil output in the key oil palm growing state in Sabah.
But a decline in crude oil prices during Asian trading hours capped gains, said trade participants.
The benchmark April CPO contract on the Bursa Malaysia Derivatives ended unchanged at MYR2,490 a metric ton, off an intraday high of MYR2,512/ton.
Trade participants said the possibility of a rise in palm oil exports during the Jan. 1-20 period to around 927,000 tons prevented a sharp fall in prices. Wednesday, cargo surveyors Intertek Agri Services and SGS (Malaysia) Bhd. will issue export data covering the first 20 days of January.
For the same period in December, cargo surveyors estimated palm oil exports at 858,000-884,000 tons.
Rain and localized flooding in Sabah continue to affect production, which is expected to be lower in the first 20 days of January, said a trading executive in Kuala Lumpur.
Sabah accounts for 40% of Malaysia's total palm oil output.
"Prices aren't able to rise beyond today's high despite a likely drop in output as export demand hasn't risen much while lower crude oil induced selling pressure (on BMD)," said a Kuala Lumpur-based trading executive.
Gains made in soyoil during Asian trading hours also provided some support to CPO futures, said a Singapore-based trading executive.
March soyoil on the Chicago Board of Trade rose as much as 45 points to 37.98 cents a pound in Asia. The March contract was last trading 31 points higher at 37.84 cents/pound.
But a decline in crude oil prices during Asian trading hours capped gains, said trade participants.
The benchmark April CPO contract on the Bursa Malaysia Derivatives ended unchanged at MYR2,490 a metric ton, off an intraday high of MYR2,512/ton.
Trade participants said the possibility of a rise in palm oil exports during the Jan. 1-20 period to around 927,000 tons prevented a sharp fall in prices. Wednesday, cargo surveyors Intertek Agri Services and SGS (Malaysia) Bhd. will issue export data covering the first 20 days of January.For the same period in December, cargo surveyors estimated palm oil exports at 858,000-884,000 tons.
Rain and localized flooding in Sabah continue to affect production, which is expected to be lower in the first 20 days of January, said a trading executive in Kuala Lumpur.
Sabah accounts for 40% of Malaysia's total palm oil output.
"Prices aren't able to rise beyond today's high despite a likely drop in output as export demand hasn't risen much while lower crude oil induced selling pressure (on BMD)," said a Kuala Lumpur-based trading executive.Gains made in soyoil during Asian trading hours also provided some support to CPO futures, said a Singapore-based trading executive.
March soyoil on the Chicago Board of Trade rose as much as 45 points to 37.98 cents a pound in Asia. The March contract was last trading 31 points higher at 37.84 cents/pound.
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