KUALA LUMPUR: Malaysian palm oil futures slipped on Tuesday after two straight sessions of gains, dragged by slow export shipments and industry estimates of an increase in August output.

The benchmark palm oil contract for November delivery on the Bursa Malaysia Derivatives Exchange slid 53 ringgit, or 1.23%, to 4,263 ringgit ($1,011.15) a tonne by the midday break.

Prices came off on long liquidation as Dalian prices rose sharply on Monday, a Kuala Lumpur-based trader said.

"Higher production expectations for August also weighed on (the market) and more selling could emerge if exports don't recover," the trader said.

The Southern Peninsula Palm Oil Millers' Association forecast an 11.5% month-on-month rise in Aug. 1-20 production, traders said on Monday.

Malaysia's exports during Aug. 1-20 fell 9.9% from the same period in July, cargo surveyor Societe Generale de Surveillance said on Monday.

The ringgit, palm's currency of trade, rose 0.21% against the dollar, making the commodity more expensive for holders of foreign currency.

Dalian's most-active soyoil contract rose 0.4%, while its palm oil contract gained 0.9%. Soyoil prices on the Chicago Board of Trade were up 0.1%.

Palm oil is affected by price movements in related oils as they compete for a share in the global vegetable oils market.

Refinitiv Agriculture Research said in a note on Monday that the contract might rise towards resistance at 4,360-4,380 ringgit a tonne this week, with support at 4,050-4,070 ringgit a tonne, rebounding from last week's sharp loss on bargain-buying.

Palm oil may break a resistance at 4,358 ringgit per tonne and rise into a range of 4,405-4,464 ringgit, Reuters technical analyst Wang Tao said.