Asian palm oil prices may rise<\/p>\n
KUALA LUMPUR (Reuter): Southeast Asian palm oil prices may
\nfirm slightly this week on prospects of strong demand from
\ntraditional buyers and expectation of lower output, regional
\ntraders said.<\/p>\n
\"Exports look good while the increase in July production was
\nnot as big as anticipated. (Third month October) should test
\nresistance at 1,120 ringgit a ton and then maybe move onto 1,150
\nringgit,\" said one Singapore trader in a local commodity house.<\/p>\n
Two Malaysian cargo surveyors, Caleb Brett and SGS (M) Sdn
\nBhd, said palm oil exports in July were estimated at 667,802 and
\n649,331 tons.<\/p>\n
Malaysia's Palm Oil Registration and Licensing Authority said
\nexports in June were 569,727 tons.<\/p>\n
October futures contract closed on Friday at 1,085 ringgit a
\nton. One Singapore dealer said October palm oil should fluctuate
\nbetween 1,085 to 1,150 ringgit a ton, with the commodity well
\nsupported at 1,050.<\/p>\n
But another dealer said any increase may be capped in the
\nabsence of higher demand from major buyers like China.<\/p>\n
\"I'd say the price will probably trend sideways. It should
\nrange within 10-15 ringgit either way,\" said the Singapore
\ndealer.<\/p>\n
Palm olein prices in Indonesia are expected to be steady on
\ngood demand but ample supply could cap the upside. Buyers who
\nstayed out of the market following the riots in Jakarta last
\nweekend (July 27-28) were expected to resume purchases,
\nIndonesian traders said.<\/p>\n
\"Many of the out-of-town buyers were quiet through the week
\nfollowing the problems,\" one said. \"I expect them to return to
\nthe market this week as things have normalized.\"<\/p>\n
Riots began after police took control of the Indonesia
\nDemocratic Party headquarters in the capital from supporters of
\nMegawati Sukarnoputri, who was ousted as party leader by a
\nbreakway faction backed by the government.<\/p>\n
Indonesian traders said sharply lower August export taxes on
\ncrude palm oil and products such as palm olein were unlikely to
\nhave any significant, short-term impact on domestic prices.<\/p>\n
Indonesian palm olein finished last week at 1,320-25
\nrupiah\/kg, unchanged from a week ago.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/asian-palm-oil-prices-may-rise-1447893297",
"image": ""
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