KUALA LUMPUR, April 30 (Reuters) – Malaysian palm oil futures firmed for a third straight session on Thursday, tracking higher crude and soybean oil prices, as traders awaited data on April exports due later in the day.
The benchmark palm oil contract for July delivery on the Bursa Malaysia Derivatives Exchange climbed 42 ringgit, or 2.07%, to 2,073 ringgit ($479.64) per tonne by 0251 GMT.
However, palm oil was down 0.1% for the week, on course for its third weekly loss.
The Malaysian bourse will be closed for Labour Day on Friday and will resume operations on Monday.
FUNDAMENTALS
* Oil prices rose on Thursday, building on big gains in the previous session on signs the U.S. crude glut is not growing as fast as expected and that gasoline demand battered by COVID-19 restrictions is starting to pick up.
* Stronger crude oil futures make palm a more attractive option for biodiesel feedstock.
* Palm oil exports from Malaysia, the world’s second-largest palm producer, during its first month of a partial lockdown to contain the coronavirus tumbled 41.7% from a year earlier to 890,331 tonnes, its plantation industries and commodities minister said on Thursday.
* FGV Holdings, the world’s largest crude palm oil producer, forecast a significant drop in 2020 output as coronavirus-driven restrictions disrupted work at its plantations and mills.
* Dalian’s most-active soyoil contract gained 0.34%, while its palm oil contract jumped 1.23%. Soyoil prices on the Chicago Board of Trade were up 0.38%.
* Palm oil is affected by price movements in related oils as they compete for a share in the global vegetable oils market.
* Palm oil still targets a zone of 2,072-2,107 ringgit, as suggested by its wave pattern and a projection analysis, Reuters technical analyst Wang Tao said.
MARKET NEWS
* Asian stocks rose to a fresh seven-week high on Thursday, lifted by encouraging early results from a COVID-19 treatment trial, though bonds and currencies held cautious ranges ahead of a European Central Bank meeting later in the day.
DATA/EVENTS
0100 China NBS Manufacturing PMI April
0530 France GDP Prelim QQ Q1
0600 Russia Markit Mfg PMI April
0645 France CPI (EU Norm) Prelim YY April
0755 Germany Unemployment Chg, Rate SA April
0900 EU HICP, HICP-X F&E Flash YY April
0900 EU GDP Flash Prelim QQ, YY Q1
0900 EU Unemployment Rate March
1145 EU ECB Refinancing, Deposit Rates April
1230 US Consumption, Adjusted MM March
1230 US Initial Jobless Claim Weekly
1230 Germany ECB President Christine Lagarde speaks at a
press conference on the outcome of the
meeting of the Governing Council
1330 Germany Press conference following the Governing
Council meeting of the ECB in Frankfurt
2030 US Federal Reserve weekly balance sheet
($1 = 4.3220 ringgit)
Source : Reuters
