JAKARTA: Malaysia’s palm oil futures rose for a fourth straight session on Wednesday, tracking gains in soy oil prices amid concerns over weak US output, while traders awaited domestic export data for further cues.
The benchmark palm oil contract for November delivery on the Bursa Malaysia Derivatives Exchange was up 1.65% at 4,304 ringgit ($959.86) a tonne by the end of the afternoon session.
“There is no clarity of a trend right now for palm oil market as the production has shown a significant recovery during the Aug. 1-20 period. On the other hand the export data (for the same period) are in a very wide range,” said Anilkumar Bagani, research head of Mumbai-based vegetable oils broker Sunvin Group.
Export data for Aug. 1-20 were mixed, with two cargo surveyors saying shipments dropped on a monthly basis, while one reported a growth.
Markets participants were waiting for the Aug. 1-25 exports data, a trader in Kuala Lumpur said.
Soyoil prices on the Chicago Board of Trade were up 0.61%, while Dalian’s soyoil contract gained 2.75% and its palm oil contract rose 2.51%.
Palm oil is affected by price movements in related oils, as they compete for a share in the global vegetable oils market.