AMSTERDAM: European vegetable oil prices firmed on Wednesday as soybean futures at the Chicago Board of Trade rallied on US data showing lower-than-expected stocks.
Vegetable oils prices rose on Tuesday as speculators bet US Department of Agriculture would be bullish. The trend continued on Wednesday after the USDA report showed soybean stocks were 12 percent below expectations.
"The report was friendly for (soy)beans, but bearish for corn and wheat," one trader said.
Liquid oils were quoted between 5 and 35 euros per tonne up from Tuesday, following the trend in CBOT soyoil futures and stronger rapeseed futures.
Gains were limited by a weak dollar, which weighed on euro-priced products. Jan/March sun oil contracts changed hands at $1,185 a tonne.
Palm oil was offered between flat to $12 a tonne up from Tuesday, supported by the rally in Chicago after Malaysian palm oil futures closed between 40 and 76 ringgit per tonne up on strong exports.
December delivery RBD palm olein changed hands at $975 a tonne fob Malaysia, while Jan/March traded $12 up from Tuesday between $970 and $982.50, and April/June fetched between $977.50 and $985.
Asking prices for lauric oils gained between $20 and $45 a tonne, following the trend in soyoil and palm oil and because of a weak dollar, which supports dollar-priced products.
Dec/Jan palmkernel oil traded at $1,050 a tonne cif Rotterdam, $25 a tonne higher than on Tuesday.
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