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VEGOILS-Palm oil edges lower, stocks data eyed
September 9, 2013 / 10:32 AM / in 4 years

VEGOILS-Palm oil edges lower, stocks data eyed

* Malaysia Aug stocks likely up 4 pct at 1.73 mln T -poll
    * Cargo surveyors' Sept 1-10 exports data due Tues
    * MPOB August stocks, output, exports data also due Tues
    * Palm trades in 2,397-2,449 ringgit range

 (Updates prices)
    By Chew Yee Kiat
    SINGAPORE, Sept 9 (Reuters) - Malaysian palm oil futures fell on Monday, as
investor caution set in ahead of key industry data that could show end-stocks
creeping higher in the world's No.2 producer.
    Industry regulator the Malaysian Palm Oil Board (MPOB) is due to release
August stocks data on Tuesday, which may show an increase to 1.73 million
tonnes, the highest level in three months as output outweighed exports, a
Reuters survey showed. 
    Cargo surveyors Intertek Testing Services and Societe Generale de
Surveillance are also reporting Malaysian Sept. 1-10 exports data on Tuesday.   
    "The market should be quite range-bound today, with traders positioning
ahead of MPOB and exports data tomorrow. Stocks are likely to be flat or higher
and hopefully exports for the first 10 days are stronger," said a trader with a
foreign commodities brokerage in Kuala Lumpur.     
    The benchmark November contract on the Bursa Malaysia Derivatives
Exchange lost 1.7 percent to close at 2,402 ringgit ($730) per tonne, after
trading in a range of 2,397 to 2,449 ringgit.  
    Total traded volume stood at 29,350 lots of 25 tonnes each, lower than the
average 35,000 lots.     
    Technicals showed palm oil is expected to drop to 2,385 ringgit per tonne,
driven by a wave analysis, according to Reuters market analyst Wang Tao.
 
    Traders are expecting higher overseas demand for palm oil in August to
continue into September as key buyer China restocks ahead of the Mid-Autumn
festival later this month.
    Market participants are also keeping a close watch on the ringgit 
this week. The tropical oil enjoyed a surge in buying interest last week thanks
to the weaker Malaysian currency, which makes the feedstock cheaper for overseas
buyers and refiners.
    In other markets, oil eased below $116 a barrel on Monday with investors
focused on Syria after Russia and China again urged the United States to avoid
military action ahead of a key vote by the U.S. senate.    
    In vegetable oil markets, the U.S. soyoil contract for December 
gained 0.5 percent in late Asian trade. The most-active January soybean oil
contract on the Dalian Commodities Exchange edged up 0.8 percent.      
  Palm, soy and crude oil prices at 1009 GMT
                                                                                                
  Contract        Month    Last   Change     Low    High  Volume
  MY PALM OIL      SEP3    2406   -26.00    2400    2412      99
  MY PALM OIL      OCT3    2403   -44.00    2400    2448    1241
  MY PALM OIL      NOV3    2402   -42.00    2397    2449   15269
  CHINA PALM OLEIN JAN4    5640   +26.00    5632    5680  303300
  CHINA SOYOIL     JAN4    7312   +58.00    7292    7336  716344
  CBOT SOY OIL     DEC3   43.96    +0.24   43.73   44.13    5270
  NYMEX CRUDE      OCT3  110.03    -0.50  109.76  110.46   19644
                                                                                                
  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
 ($1=3.29 Malaysian ringgit)

 (Editing by Joseph Radford and Prateek Chatterjee)

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