SINGAPORE, Dec 17 (Reuters) – Malaysian palm oil futures ended four sessions of losses to jump 2.1% on Friday, as it tracked rival oil gains on the Dalian Commodity Exchange.
The benchmark palm oil contract FCPOc3 for March delivery on the Bursa Malaysia Derivatives Exchange gained 94 ringgit to 4,496 ringgit ($1,068.19) during early trade.
The jump was likely due to costlier rival oils on the Dalian Commodity Exchange, a Kuala Lumpur-based trader told Reuters.
Dalian’s most-active soyoil contract DBYcv1 rose 2% while its palm oil contract DCPcv1 jumped 3.5%. Soyoil prices BOc2 on the Chicago Board of Trade were up 0.2%.
Palm oil is affected by price movements in related oils as they compete for a share in the global vegetable oils market.
The contract is, however, set to plunge 6.3% for the week due to weaker-than-expected exports during the first half of December.
Palm oil FCPOc3 may gain more into a range of 4,555 ringgit to 4,625 ringgit per tonne as suggested by its wave pattern, Reuters technicals analyst said. TECH/C
FUNDAMENTALS
* Chicago wheat futures edged higher, building on the previous session’s near 2% gains on the back of strong weekly export sales and dry conditions in the U.S. Plains, while corn and soybeans were stuck in a tight range. GRA/
* Oil prices dipped on Friday, putting the market on track to end the week roughly unchanged, as surging cases of the Omicron coronavirus variant raised fears new curbs may hit fuel demand, while a weaker dollar supported commodity markets broadly. O/R
DATA/EVENTS (GMT)
0700 UK Retail Sales MM YY Nov
0900 Germany Ifo Business Climate Dec
0900 Germany Ifo Curr Conditions Dec
0900 Germany Ifo Expectations Dec
1000 EU HICP Final MM YY Nov
n/a Japan BOJ Rate Decision
($1 = 4.2090 ringgit)
(Reporting by Fathin Ungku; Editing by Sriraj Kalluvila)
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