JAKARTA: Malaysian palm oil futures posted gains for a third straight session on Thursday as soy oil climbed on concerns over tight soybean harvest and market participants resumed bargain-hunting.

The benchmark palm oil contract for October delivery on the Bursa Malaysia Derivatives Exchange rose 3.53% to close the afternoon session at 3,961 ringgit ($889.91) per tonne. It rose as much as 5.23% earlier in the day to touch its highest in a week.

Palm oil was helped by strength in rival vegetable oils on Thursday, a trader in Kuala Lumpur said, adding that palm oil “remains very cheap” compared to soyoil.

The contract has fallen sharply over the past two months as rival Indonesia resumed exports. So far in July, it has lost 19% after posting a 22% decline in June.

On Thursday, Dalian’s most-active soyoil contract rose 5.15% to its highest since July 1, while its palm oil contract gained 6.58%. Soyoil prices on the Chicago Board of Trade rose 2.39%.

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