Palm loses more than 2% on weaker soyoil prices
- The benchmark palm oil contract for August delivery on the Bursa Malaysia Derivatives Exchange dropped 2.51% to 3,453 ringgit ($838.72) a tonne.
JAKARTA: Malaysian palm oil futures dropped more than 2% on Wednesday, shedding sharp gains from the previous session, weighed down by a fall in soyoil prices.
The benchmark palm oil contract for August delivery on the Bursa Malaysia Derivatives Exchange dropped 2.51% to 3,453 ringgit ($838.72) a tonne.
Soyoil contract on the Chicago Board of Trade (CBOT) dipped 0.23%. Soybean oil prices on the Dalian Commodity Exchange dropped 0.42%, while its palm oil contract rose 0.17%.
Palm oil is affected by price movements in related oils as they compete for a share in the global vegetable oils market.
Palm oil may break a resistance at 3,602 ringgit per tonne and rise into a range of 3,691 ringgit to 3,757 ringgit, Reuters technicals analyst Wang Tao said.