Malaysian palm oil futures end higher

Malaysian palm oil futures end higher

KUALA LUMPUR (Reuters): Malaysian palm oil futures closed higher on Monday but gains were pared by concerns over high domestic stocks, traders said.

Supportive export data and firmer soyoil futures on the Chicago Board of Trade on Friday had boosted prices earlier.

Cargo surveyor Societe Generale de Surveillance Malaysia Sdn. Bhd. (SGS) said Malaysian palm oil exports in the first 10 days of February were 283,135 metric tons, up from 224,962 in the same period of January.

The benchmark third-month April futures contract ended up three ringgit at 746 ringgit ($196.32) a ton after trading as high as 755.

"The export figures are quite good but people are obviously concerned about the large stocks. With production still on the high side, they are worried stocks will increase further," said one trader in Kuala Lumpur.

Private crop forecaster Ivan Wong said last week Malaysia's palm oil stocks at the end of January were estimated at 1.50 million tons, up from 1.41 million at end-December.

Wong will release his final estimates of January output, exports and closing stocks on Wednesday, while official figures for January are due the following day.

Physical February (south) crude palm oil was offered at 700 ringgit a ton against bids at 690. It traded from 700 to 695. March (south) saw offers at 735 ringgit, bids at 730 and trade at 737.50 to 730.

Among refined products, February RBD palm oil was offered at $200 a ton FOB and March at $205.

There were offers for February RBD olein at $205 and March at $210.

February RBD palm stearin was offered at $180 and February palm fatty acid distillate at $177.50.