BEIJING: Malaysian palm oil futures on Friday gained some ground lost this week and snapped a three-session decline on robust exports data, while also tracking a rise in other oils.
The benchmark palm oil contract for October delivery on the Bursa Malaysia Derivatives Exchange climbed 23 ringgit, or 0.59%, to 3,941 ringgit ($846.62) a metric ton.
However, the contract logged a 0.5% weekly decline. Exports of Malaysian palm oil products for July 1-25 rose 31% year on year, cargo surveyors Intertek Testing Services and Amspec Agri said on Thursday.
Cargo surveyor Societe Generale de Surveillance (SGS) estimates exports of Malaysian palm oil products for July 1-25 at 1,193,049 metric tons, from 908,517 metric tons shipped during June 1-25, according to LSEG.
Dalian’s most-active soyoil contract gained 1%, while its palm oil contract rose 1.8%. Soyoil prices on the Chicago Board of Trade were down 0.6%. Palm oil is affected by price movements in related oils as they compete for a share in the global vegetable oils market. Oil prices were little changed but on track for a third consecutive weekly decline, pressured by muted demand in China and expectations of a Gaza ceasefire deal that could ease Middle East tensions and accompanying supply concerns.
Weaker crude oil futures make palm a less attractive option for biodiesel feedstock.
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