Indian soyoil futures eased on concerns the government could cut import duties to help lower edible oil prices, which analysts said were a factor in Friday's data showing slight rise in annual inflation in late June. At 3:30 pm (1000 GMT), the July contract on the National Commodity and Derivatives Exchange (NCDEX) was down 0.07 percent at 495.90 rupees ($12.3) per 10 kg.
The August contract fell 0.09 percent to 502.7 rupees, with the market supported by gains in offshore soyoil and palm oil futures, as well as a forecast of heavy rain in soybean growing regions in India, an analyst in Ahmedabad said. There was some concern that excess rain at this time could lower the output and quality of the crop, the analyst said.
An analyst at Indiabulls Commodities recommended buying the August contract at 500 rupees, a support level this week. The benchmark September palm oil futures on Bursa Malaysia Derivatives Exchange rose 2 percent at 2,520 ringgit ($730.5) while the July soyoil futures Chicago Board of Trade rose 32 cents on Thursday to 36.68 cents per pound.
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