KL palm oil extends losses on liquidation

KL palm oil extends losses on liquidation

KUALA LUMPUR (Reuters): Malaysian palm oil futures again surrendered early gains to close lower on Tuesday as players liquidated long positions amid worries over falling sales to top buyer India.

Overnight gains in Chicago soyoil futures had supported early prices.

The benchmark November futures contract ended down 23 ringgit at 1,073 ringgit (US$282.37) a ton after trading as high as 1,112 ringgit in the morning.

Overall volume increased to 3,317 lots against 2,715 lots on Monday.

Chicago Board of Trade (CBOT) soyoil futures ended up 0.12 to 0.35 cent per lb on Monday, with September up 0.12 cent at 17.44 and October up 0.14 cent at 17.59.

Export figures released by cargo surveyor Societe Generale de Surveillance Malaysia on Monday showed palm oil shipments to India in the first 25 days of August totaled 118,086 tons, down from 170,886 in July 1-25.

The physical market lost further ground due to a lack of demand for refined products.

August/September crude palm oil for south and central regions was offered at 1,090 ringgit a ton against bids at 1,080. Trades were done at 1,115 to 1,090 ringgit for central and 1,105 to 1,080 for south.

Among refined products, September RBD palm oil was offered at $300 a ton and October/November/December at $302.50.

Offers for September RBD olein were at $315 and October/November/December at $317.50.

September RBD palm stearin was offered at $255 a ton and September palm fatty acid distillate was offered at $205.