Palm oil ends lower, awaits export data

Palm oil ends lower, awaits export data

KUALA LUMPUR (Reuters): Malaysian palm oil futures retreated from early gains to close lower due to a lack of follow-through support or fresh leads.

Trading remained thin as players awaited the release of export data for the first 10 days of August on Thursday.

The benchmark third position October futures contract ended down two ringgit at 1,035 ringgit (US$272.37) a ton after trading as high as 1,043 ringgit.

Volume stood at 564 lots against 462 on Tuesday.

Overnight gains in Chicago soyoil futures had supported early prices.

"The market is just hovering at current prices because there are no fresh leads," said one trader in Kuala Lumpur.

He said August 1-10 exports figures could provide more clues to market direction for the coming months.

Traders said the market was still awaiting developments on the government's proposals to allow some companies to export crude palm oil (CPO) duty-free this year.

Primary Industries Minister Lim Keng Yaik said on Monday Malaysia was considering the removal of duties on CPO exports this year.

Aug (south) crude palm oil was offered at 1,015 ringgit a ton against bids of 1,010. Trade was reported at 1015.

Among refined products, Aug RBD palm oil was offered at $282.50 a ton FOB, Sep at $287.50 and Oct/Nov/Dec at $300.

There were offers for Aug RBD palm olein at $302.50, with Sep at $307.50 and Oct/Nov/Dec at $320.

Aug/Sep RBD palm stearin was offered at $232.50 and Aug/Sep palm fatty acid distillate at $190.