Palm oil on the European vegetable oils market edged higher on Thursday as a weaker dollar and technical gains in CBOT soyaoil futures supported prices. Asking prices for palm oil were mostly between unchanged and $2.50 a tonne up from Wednesday after Malaysian palm oil futures closed between seven ringgit per tonne lower and six ringgit higher, pressured by ongoing worries over waning export demand.
At 1630 GMT, CBOT soyaoil futures were between 0.07 cents per lb higher and 0.01 cent lower, supported by technical buying and underpinned by strong energy markets. Weaker Chicago soyabean futures on lower than expected weekly export sales limited gains. EU rapeoil was quoted barely changed from Wednesday after strength in Chicago soyaoil and higher energy prices were offset by the weaker dollar, which weighs on euro-priced products. Easier rapeseed futures, following the weaker trend in CBOT soyabeans, also weighed.
At the end of the day, lauric oils were offered between $10 and $30 a tonne higher, gaining as much as $45 a tonne from early lows as aggressive sellers vanished during the afternoon. "Laurics have come down sharply since the start of the month and maybe it all fell a little too much in too short a time, so there was a bit of a correction," one broker said, adding there was no business to prove the correction was justified.
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