Vegoils: Palm oil near three-year low tracking weakness in related oils

Reuters  |  KUALA LUMPUR 

By Emily Chow

The benchmark palm contract for September delivery on the Bursa was down 0.1 percent at 2,183 ringgit ($540.61) a tonne at the midday break.

It earlier fell as much as 0.7 percent to 2,170 ringgit, the lowest since Sept. 22, 2015. It is down 3.7 percent so far this week, as sentiment was largely bearish due to weak demand and jitters over the Sino-U.S. trade spat.

Trading volumes stood at 18,288 lots of 25 tonnes each at the midday break.

"Weakness in CBOT and olein prices are pressuring palm," said a futures in Kuala Lumpur, referring to U.S. soyoil on the and palm olein prices on China's Commodity Exchange.

The market was waiting for fresh triggers, another added.

Palm are usually impacted by the performance of other edible oils as they compete for a share in the global vegetable oils market.

The Chicago December contract fell 0.4 percent, while the September contract on China's Commodity Exchange slipped to 0.2 percent.

Meanwhile, the Dalian September eased 0.4 percent.

Palm oil is expected to break a support at 2,187 ringgit per tonne and fall more to 2,148 ringgit, said for commodities and

(Reporting by Emily Chow; Editing by Sunil Nair)

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Fri, July 13 2018. 12:04 IST