Palm extends losses on weaker rival oils, higher stockpile expectations

Malaysian palm oil futures fell for a second session on Thursday, pressured by weaker edible oils in Dalian and Chicago markets and expectations of rising stocks. The benchmark palm oil contract FCPO1! for February delivery on the Bursa Malaysia Derivatives Exchange lost 47 ringgit, or 1.13%, to 4,106 ringgit ($999.03) a metric ton at closing. “Weaker rival oilseeds pressured crude palm oil (CPO) futures prices today. Overnight Chicago soyoil dropped nearly 2%, along with ringgit strength dragged CPO prices lower today,” a Kuala Lumpur-based trader said. Dalian’s most-active soyoil contract (DBYcv1) fell 0.29%, while its palm oil contract CPO1! shed 0.8%. Soyoil prices on the Chicago Board of Trade (BOc2) were down 0.08%. Palm oil tracks price movements of rival edible oils, as it competes for a share of the global vegetable oils market. Expectation of rising stock levels amid subdued export demand also pressured the contract, said Anilkumar Bagani, commodity research head of ...