Malaysian palm oil futures rose for a third consecutive session on Wednesday, but the rally may lose steam due to concerns about rising stockpiles, traders said.
KUALA LUMPUR: The following factors are likely to influence Malaysian palm oil futures and other vegetable oil markets on Wednesday Dec 12.
FUNDAMENTALS
* 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.
* U.S. soybean futures closed higher on Tuesday as traders anticipated potential Chinese purchases of U.S. agricultural products, and shrugged off a bearish monthly global soy inventories report from the U.S. Department of Agriculture.
* Oil futures edged higher on Tuesday after paring most of their gains as stock markets turned negative on worries about a possible U.S. government shutdown.
MARKET NEWS
* Asian markets faced a fraught session on Wednesday as conflicting reports
deepened confusion over Sino-U.S. trade, while sterling was battered by talk of
an imminent party coup against British Prime Minister Theresa May.
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-sources
DATA/EVENTS
Cargo surveyor AmSpec releases Malaysia's Dec 1-15 palm oil export data on Dec 15.
Cargo surveyor SGS releases Malaysia's Dec 1-15 palm oil export data on Dec 15. - Reuters
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