Palm oil plunges nearly 6% on economic woes, weak exports

News Image

MG News | July 01, 2022 at 09:24 AM GMT+05:00

0:00

July 01, 2022: Malaysian palm oil futures plummeted nearly 6% on Friday, on course for a fourth weekly loss, as they tracked a rout in crude futures and rival edible oils caused by recession fears and uncertainty over future OPEC+ output.

The benchmark palm oil contract FCPOc3 for September delivery on the Bursa Malaysia Derivatives Exchange fell 280 ringgit, or 5.7%, to 4,630 ringgit ($1,050.84) during early trade.

It had dropped nearly 3% overnight, also weighed by weak June exports.

For the week, the palm has lost 0.6% so far.

FUNDAMENTALS

* Malaysia's exports in June shrank between 10% and 13.4% from the previous month as shipments to India and the European Union slowed, cargo surveyors said on Thursday.

* Dalian's most-active soyoil contract DBYcv1 fell 4.1%, while its palm oil contract DCPcv1 slipped 5.4%. Soyoil prices on the Chicago Board of Trade BOcv1 were down 1.4%.

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

* Oil prices edged up, after sinking 3% in the previous session as OPEC+ said it would stick to its planned oil output hikes in August and investors worried about the strength of the global economy. O/R

* Weaker crude futures make palm a less attractive option for biodiesel feedstock.

* Palm oil may break a support at 4,742 ringgit per tonne, and fall to 4,588 ringgit, Reuters technical analyst Wang Tao said.

Reuters

Related News

Name Price/Vol %Chg/NChg
KSE100 138,412.25
167.69M
0.32%
447.43
ALLSHR 85,702.96
423.92M
0.15%
131.52
KSE30 42,254.84
82.09M
0.43%
180.24
KMI30 194,109.59
84.37M
0.15%
281.36
KMIALLSHR 56,713.67
217.03M
0.03%
16.37
BKTi 37,831.34
13.04M
1.62%
603.62
OGTi 27,440.63
3.93M
-0.09%
-23.70
Symbol Bid/Ask High/Low
Name Last High/Low Chg/%Chg
BITCOIN FUTURES 118,605.00 118,670.00
117,905.00
985.00
0.84%
BRENT CRUDE 73.47 73.63
71.75
0.96
1.32%
RICHARDS BAY COAL MONTHLY 96.50 0.00
0.00
2.20
2.33%
ROTTERDAM COAL MONTHLY 104.50 104.50
104.50
-0.30
-0.29%
USD RBD PALM OLEIN 998.50 998.50
998.50
0.00
0.00%
CRUDE OIL - WTI 70.36 70.37
70.18
0.36
0.51%
SUGAR #11 WORLD 16.46 16.58
16.37
-0.13
-0.78%

Chart of the Day


Latest News

Top 5 things to watch in this week

Pakistan Stock Movers
Name Last Chg/%Chg
Name Last Chg/%Chg