VEGOILS-Palm oil hits near three-week high, USDA report eyed

* Palm oil to hover around 3,115 ringgit -technicals
* Malaysian exporters stop supplying palm oil to Iran
-sources
* Indonesia's Bumitama revives $160 mln Singapore IPO
-sources

(Updates prices)
By Chew Yee Kiat
SINGAPORE, Feb 8 (Reuters) - Malaysian crude palm oil
jumped to a near three-week high on Wednesday as the market
reopened after a two-day break, tracking broader markets, such
as soyoil, ahead of a key U.S. crop report on Thursday.
The U.S. soyoil contract for March on the Chicago
Board of Trade has gained 1.8 percent this week on prospects of
higher demand, setting the stage for a palm oil rally.
Investors are keeping an eye on the February crop production
as well as the supply and demand reports set to be issued by the
U.S Department of Agriculture on Thursday.
"Last week's low was most likely to be the bottom. The
market's also higher today, with China buying more in coming
months to replenish stocks after the Lunar New Year," said a
dealer with a foreign commodities brokerage in Kuala Lumpur,
referring to a six-week low hit by palm oil last week.
"We can expect some short term rally ahead of the USDA
reports tomorrow," added the dealer.
Benchmark April palm oil futures on the
Bursa Malaysia Derivatives Exchange gained 2.3 percent to close
at 3,155 ringgit ($1,051) per tonne, but off the earlier high of
3,158 ringgit, a level last seen on Jan. 26.
Traded volumes stood at 24,972 lots of 25 tonnes
each, just slightly thinner than the usual 25,000 lots.
Reuters market analyst Wang Tao said palm oil futures will
hover around a resistance at 3,115 ringgit per tonne for one or
two trading sessions before climbing towards 3,165 ringgit.

On the demand side, Malaysian palm oil exports for January
eased close to 12 percent and 13 percent, according to cargo
surveyors Intertek Testing Services and Societe Generale de
Surveillance.
Some traders attributed the fall to the shift in orders to
Indonesia, which slashed export taxes for processed oils.
To help refiners compete with Indonesian rivals, Malaysia
has issued this year's tax-free crude palm oil export quotas of
3 million after weeks of delay, sources said on Sunday.

Trading sources also said Malaysian palm oil exporters had
stopped supplying most of the 30,000 tonnes of the staple that
Iran buys each month from the Southeast Asian producer as
Western financial sanctions against Tehran stymie payments.

In related news, Indonesian palm oil firm Bumitama Gunajaya
Agro, which shelved its Singapore initial public offering in
June, now plans to raise about S$200 million through a listing
in the second quarter, sources familiar with the matter said.

Brent crude futures held above $116 a barrel on Wednesday,
as uncertainty over Greece's ability to resolve its debt
problems was offset by a sharp drop in U.S. crude inventories.

In other vegetable oil markets, the U.S. soyoil contract for
March delivery and the most active September 2012 soyoil
contract on China's Dalian Commodity exchange both
inched up 0.7 percent.
Palm, soy and crude oil prices at 1000 GMT

Contract Month Last Change Low High Volume
MY PALM OIL FEB2 3110 +58.00 3110 3110 175
MY PALM OIL MAR2 3158 +76.00 3101 3158 1517
MY PALM OIL APR2 3155 +70.00 3100 3158 14051
CHINA PALM OLEIN SEP2 8230 +82.00 8134 8230 122210
CHINA SOYOIL SEP2 9302 +102.00 9188 9304 391112
CBOT SOY OIL MAR2 52.56 +0.39 52.06 52.76 5567
NYMEX CRUDE MAR2 99.35 +0.94 98.60 99.65 19156

Palm oil prices in Malaysian ringgit per tonne
CBOT soy oil in U.S. cents per pound
Dalian soy oil and RBD palm olein in Chinese yuan per tonne
Crude in U.S. dollars per barrel

* Bursa Malaysia holds its annual Palm and Lauric Oils
Conference & Exhibition Price Outlook 2012 from March 5 to 7 in
Kuala Lumpur. For details, see www.pocmalaysia.com
($1=3.001 Malaysian ringgit)

(Editing by)