Malaysian palm oil futures rose to their strongest levels in two weeks on Friday evening, charting a third consecutive session of gains, tracking a rise in soyaoil on the Chicago Board of Trade. The market also rose in the second half of trade on expectations of rising demand, ahead of export data to be released by cargo surveyors on Monday.
The benchmark palm oil contract for December delivery on the Bursa Malaysia Derivatives Exchange was up 1.4 percent to 2,749 ringgit ($651.42) a tonne at the end of the trading day, its biggest daily gain in nearly three weeks. Palm earlier rose to an intraday high of 2,751 ringgit, its highest levels since Sept. 27.
Traded volumes stood at 52,340 lots of 25 tonnes each on Friday evening. Palm was also up 0.7 percent for the week, a second consecutive week of gains. "The market gained on stronger soyaoil," said a futures trader in Kuala Lumpur, adding that expectations of strong export data demand also supported palm.
Export data on Malaysian palm oil shipments for the first half of October is scheduled for release on Oct. 16 after 0300 GMT by cargo surveyors Intertek Testing Services and Societe Generale de Surveillance. Demand last rose between 16.5-18.1 percent for the first 10 days of October, versus the same period the previous month.
The December soyabean oil contract on the Chicago Board of Trade rose 1.2 percent, after the US Department of Agriculture (USDA) unexpectedly cut its forecast of the US soya crop. In other related edible oils, the January soyabean oil contract on China's Dalian Commodity Exchange rose 0.4 percent, while the January palm olein contract gained 0.7 percent. Palm's prices are impacted by movements of related oils as they compete for a share in the global vegetable oils market.
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