Malaysian palm oil/Vegoils: Market factors to watch Wednesday May 11

The palm oil contract for July delivery on the Bursa Malaysia Derivatives Exchange was 0.5 percent higher at the close of trade, settling at 2,629 ringgit ($657) per tonne

KUALA LUMPUR: The following factors are likely to influence Malaysian palm oil futures and other vegetable oil markets on Wednesday May 11.
    
FUNDAMENTALS

* Malaysian benchmark palm oil futures rose for a second consecutive day as the ringgit weakened and stockpiles declined in the world's second largest palm producer. 

* U.S. soybean futures surged more than 5 percent to their highest level in 18 months on Tuesday after the U.S. Department of Agriculture forecast that domestic stocks would fall more than most analysts expect by the end of the 2016/17 marketing year. 

* Brent jumped 4 percent on Tuesday while U.S. crude settled up more than 2 percent, after a late burst of buying driven in part by expectations that record U.S. crude inventories would not swell by as much as they have in recent weeks. 

    
MARKET NEWS

*  Stock markets around the world rallied on Tuesday, helped by solid corporate earnings reports and higher oil prices supporting energy shares, while the yen again retreated sharply against the dollar.    

        
RELATED  
> Malaysia's May 1-10 palm oil exports rose 32.3 pct -SGS 
> Malaysia end-April palm oil stocks fall to lowest in 14 months -MPOB 
> Malaysia's May 1-10 palm oil exports rise 21.9 pct m/m -ITS    
> USDA slashes soy supply view amid S. America crop woes, prices surge 
> With world watching, China steel mills take their chances 
    
DATA/EVENTS
> Cargo surveyor ITS releases Malaysia's May 1-15 palm oil export data on May 16.
> Cargo surveyor SGS releases Malaysia's May 1-15 palm oil export data on May 16.
- Reuters