Palm posts 7% weekly gain on strong export data, Dalian prices
Malaysian palm oil futures jumped on Friday, marking the first week of gains in three, as positive export data and strong vegetable oil prices on the Dalian Commodity Exchange boosted prices ahead of a long weekend.
The benchmark palm oil contract FCPOc3 for February delivery on the Bursa Malaysia Derivatives Exchange gained 94 ringgit, or 2.33%, to 4,134 ringgit ($923.80) per tonne by Friday. The contract gained 7.37% for the week.
“The second session is driven by stronger Dalian prices, release of export data as well as long weekend covering,” a Kuala Lumpur-based trader said.
The Malaysian bourse will be closed on Monday for a public holiday.
Exports of Malaysian palm oil products for Nov. 1 – 25 were seen climbing between 4.1% and 12.9%, according to data from independent inspection company AmSpec Agri Malaysiaand cargo surveyors Societe Generale de Surveillance and Intertek Testing Services.
Dalian’s most-active soyoil contract DBYv1 gained 1.23%, while its palm oil contract DCPv1 rose 1.54%. The Chicago Board of Trade was closed for the Thanksgiving holiday.
Palm oil is affected by price movements in related oils as they compete for a share in the global vegetable oils market.
Source: Reuters (Reporting by Fransiska Nangoy and Bernadette Christina Munthe; Editing by William Mallard, Uttaresh.V and Devika Syamnath)