KL palm oil slips on technical selling

KL palm oil slips on technical selling

KUALA LUMPUR (Reuters): Last minute technical selling pushed down Malaysian palm oil prices at the close on Wednesday on prospects of poor exports and aggressive sales by Indonesia, traders said.

The benchmark third-month July contract ended down five ringgit at 788 ringgit ($207.36) a ton after trading as high as 802 ringgit on short covering. Volume was 852 lots.

"There was no reason why the market should go up this afternoon because fundamentals are weak," said one trader in Kuala Lumpur.

"I am sure exports will be poor this month and a weakening rupiah will trigger more exports from Indonesia," he added.

Physical April crude palm oil for the southern region was offered at 790 ringgit a ton against bids at 785, and traded at 780 to 790. April (central) saw offers at 785 against bids of 780, and trade was done at 780 to 785.

May crude palm oil (south) saw offers at 795 ringgit a ton against bids of 790. Trade was done at 790 to 795.

May (central) was offered at 790 ringgit against bids at 785, and traded at 790.