Palm fell 0.66% on lower demand in India, weaker price in Dalian
- Dalian's palm oil contract and soyoil contract also dropped 2.18% and 1.2%.
JAKARTA/SINGAPORE: Malaysian palm oil futures slipped 0.66% on Monday as demand from India is expected to be lower, with new coronavirus infections in the country hitting a record peak for a fifth day.
The benchmark palm oil contract for July delivery on the Bursa Malaysia Derivatives Exchange lost as much as 89 ringgit ($21.70)to 3,901 ringgit ($951.23) a tonne at the midday break.
Supporting prices were gains in CBOT soyoil, traders told Reuters. Soyoil on the Chicago Board of Trade (CBOT) gained 0.85%.
CBOT soybean futures closed higher on Friday, with the benchmark contract setting a multi-year high on firm cash soy markets and tightening global vegetable oil supplies.
Dalian's palm oil contract and soyoil contract also dropped 2.18% and 1.2%.
Palm oil is affected by price movements in related oils as they compete for a share in the global vegetable oils market.
Palm may fall more to 3,859 ringgit per tonne, as it has broken a support at 3,945 ringgit, Reuters technicals analyst Wang Tao said.
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