Palm oil on the European vegetable oils market was firmer on Wednesday supported by a weak dollar and gains in Malaysian palm oil futures on talk of strong local and overseas demand. Asking prices for palm oil were between unchanged and $15 a tonne higher after Malaysian palm oil futures closed between 26 and 52 ringgit per tonne up.
"Asking prices for palm oil rose with futures but lack of buying interest indicated buyers did not have much confidence in the market at the moment," one broker said. At 1630 GMT CBOT soyaoil futures were between 0.23 and 0.29 cents per lb higher on continued technical buying and because of talk that export prices for soyabeans were competitive with Brazilian supplies. Firmer energy markets also supported soyaoil.
Old crop positions for EU rapeoil were quoted two to four euros per tonne lower, while new crop positions, starting from August, were offered two euros higher than on Tuesday. Firmer rapeseed futures, boosted by technical buying and stronger energy prices, as well as stronger CBOT soyaoil futures were supportive. However, technicals and a weaker US dollar weighed on euro-priced rapeoil.
Coconut oil continued to claw back sharp losses earlier in the week with asking prices as much as $115 a tonne higher and trades $50 up on the day. Asking prices for palmkernel oil gained between $50 and $65 a tonne, tracking the rise in coconut oil and supported by both firmer palm oil and a weaker dollar, which underpins products quoted in that currency.
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