Malaysian palm oil price drops over 1% on expectation of higher Dec stocks

Malaysian palm oil futures fell more than 2 percent on Tuesday evening to a one-month low on expectations of rising production.

KUALA LUMPUR: Malaysian palm oil futures fell more than 1 percent on Tuesday evening, erasing most of the previous session's sharp gains, as falls in crude oil prices and expectations of higher inventories of the vegetable oil in December weighed on the market.

The benchmark palm oil contract for February delivery on the Bursa Malaysia Derivatives Exchange was down 1.3 percent at 2,015 ringgit ($483.91) a tonne at the close of trade, after declining as much as 2 percent to 2,001 ringgit earlier in the session. The declines were its sharpest daily levels in a week.