ROTTERDAM: Palm oil on the European vegetable oil market firmed on Wednesday as speculators bet on lower palm oil stocks taking cover with palm oil futures, market sources said.
Wednesday, 17 August 2011 23:43
"Business remains pretty slow and the European cash market followed the trends in Chicago and Kuala Lumpur. Buyers were not showing much enthusiasm with the US soybean and European rapeseed harvest due to put pressure on prices," one broker said.
Palm oil was offered between $2.50 and $15 a tonne up from Tuesday after Malaysian palm oil futures closed between 28 and 90 ringgit per tonne up on expectations that good exports and a lower production in August will reduce stocks.
Oct/Dec RBD palm olein traded $2.50 up from Tuesday at $1,095 and $1,097.50 a tonne fob Malaysia, Jan/March, Jan/June and April/June all changed hands at $1,082.50 fob.
At 1630 GMT CBOT soyoil futures were between 0.71 and 0.80 cents per lb up on a weak dollar and stronger mineral oil prices.
Liquid oils, soyoil, rapeoil and sunoil, were offered between unchanged and five euros per tonne up from Tuesday on stronger CBOT soyoil and firmer rapeseed oil, but gains were limited by a weak dollar, which weighs on euro-priced products. Nov/Jan EU rapeoil changed hands at 930 euros a tonne fob exmill and both Feb/April and May/July fetched 925 euros.
Lauric oils were offered flat to $10 a tonne down as sellers were prepared to accept the lower buying ideas in palmkernel oil. July/Aug palmkernel oil changed hands at $1,380 a tonne cif R otterdam, both Aug/Sept and Sept/Oct traded at $1,370 and Nov/Dec fetched $1,365 cif.
Copyright Reuters, 2011