Malaysian palm oil price eases after rally, strong demand curbs decline


  • palm oil
  • Friday, 17 May 2019

SINGAPORE: Malaysian palm oil futures lost ground on Friday as the market took a breather after a four-session rally backed by strong demand for the oilseed.

FUNDAMENTALS

* The benchmark palm oil contract on the Bursa Malaysia Derivatives Exchange lost 0.6 percent, or 13 ringgit, to 2,083 ringgit ($499.40) a tonne in early trade.

* Earlier in the session, the market rose to 2,112 ringgit, its strongest level since April 30. Palm is up 5.4% so far for the week, on track for its first weekly gain in four.

* Malaysian palm oil shipments rose between 4% and 15% during May 1-15 from the corresponding period last month, according to data from three cargo surveyors, Amspec Agri Malaysia, Intertek
Testing Services and Societe Generale de Surveillance.

* Palm oil may rise more to 2,144 ringgit per tonne, as suggested by a projection analysis and a falling channel, Wang Tao, a Reuters market analyst for commodities and energy technicals, wrote in a report.

MARKET NEWS

* Asian shares were struggling to end a bleak week in the black on Friday as upbeat U.S. economic news and solid company earnings offered only a fleeting respite from the interminable Sino-U.S. trade dispute. - Reuters


   

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