SINGAPORE: Malaysian palm oil futures reversed early gains on Friday, tracking lower crude and as investors booked profits ahead of the weekend. The benchmark palm oil contract for September delivery on the Bursa Malaysia Derivatives Exchange closed down 0.13% to 2,359 ringgit ($550.53) a tonne.

Oil fell below $43 a barrel as a resurgence of coronavirus cases raised concerns that fuel demand growth could stall. Weaker crude makes palm a less attractive option for biodiesel feedstock.

Palm rose as much as 1.35% earlier in the session as China's factory activity picked up and job growth in the United States accelerated. Dalian's most-active soyaoil contract rose 1.16% and its palm oil contract was up 1.49%.

Chicago Board of Trade (CBOT) soyabean futures touched a three-month high overnight before pulling back on profit-taking, tempered by exports to China.

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