SINGAPORE: Malaysian palm oil futures fell for a fourth consecutive session on Monday, as they tracked losses in rival oils on the Chicago Board of Trade (CBOT) and the Dalian Commodity Exchange.
The benchmark palm oil contract for August delivery on the Bursa Malaysia Derivatives Exchange closed 104 ringgit, or 2.6% lower, to 3,887 ringgit ($937.98) a tonne.
The contract fell 11% last week, the sharpest in a year, as lockdown concerns hit demand.
“Palm oil futures opened lower following weakness in CBOT soyaoil,” Anilkumar Bagani, research head of Mumbai-based vegetable oils broker Sunvin Group told Reuters, adding that cheaper rivals on the Dalian Commodity Exchange also weighed on prices.
CBOT’s soyabeans fell to a three-week low as improved crop weather in the US Midwest weighed on the market while soyabean oil contract last fell 1.2%.
Meanwhile, Dalian’s most-active soyaoil contract fell 1.8%, while its palm oil contract was down 3%.
Palm oil is affected by price movements in related oils as they compete for a share in the global vegetable oils market.