Malaysian palm oil price up on poor industry production data

KUALA LUMPUR: Malaysian palm oil futures rose slightly on Thursday as industry data showing declining production lent support.
    The January benchmark palm oil contract on the Bursa Malaysia Derivatives Exchange had gained 0.1 percent to 2,333 ringgit ($535.09) a tonne by the end of the trading day.
    "Besides the weakening ringgit, production in the first 10 days of November
from SPPOMA was lower by 30 percent," said a trader based in Kuala Lumpur,
referring to data from the Southern Peninsula Palm Oil Millers' Association
compared with a month earlier.
    "The reduction in production put a bottom on prices, but I don't think this
can sustain."
    Palm was also supported by a weaker ringgit, making the vegetable oil
cheaper for holders of foreign currencies. The ringgit traded weaker
against the dollar on Thursday before closing flat in the evening.
    Traded volume stood at 35,674 lots of 25 tonnes each, slightly above the
average 35,000 lots usually traded in a day.
    Palm oil may break a support at 2,319 ringgit per tonne, and fall more
towards the next support at 2,232 ringgit, as indicated by its wave pattern and
a Fibonacci retracement analysis, said Reuters market analyst for commodities
and energy technicals Wang Tao. 
    In other vegetable oil markets, the U.S. December soyoil contract 
rose 0.3 percent, while the January soybean oil contract on the Dalian
Commodity Exchange dropped 0.2 percent.
    
  Palm, soy and crude oil prices at 1011 GMT
                                                                  
  Contract        Month    Last   Change     Low    High  Volume
  MY PALM OIL      NOV5    2208   +27.00    2203    2208       6
  MY PALM OIL      DEC5    2236    -1.00    2233    2252    1351
  MY PALM OIL      JAN6    2333    +3.00    2315    2347   17643
  CHINA PALM OLEIN JAN6    4188    +8.00    4162    4208  689648
  CHINA SOYOIL     JAN6    5468   -10.00    5432    5486  345550
  CBOT SOY OIL     DEC5   27.25    +0.00   27.16   27.30    3143
  INDIA PALM OIL   NOV5    0.00    +0.00    0.00    0.00       0
  INDIA SOYOIL     NOV5    0.00    +0.00    0.00    0.00       0
  NYMEX CRUDE      DEC5   42.98    +0.05   42.90   43.33   28500
                                                                  
  Palm oil prices in Malaysian ringgit per tonne
  CBOT soy oil in U.S. cents per pound
  Dalian soy oil and RBD palm olein in Chinese yuan per tonne
  India soy oil in Indian rupee per 10 kg
  Crude in U.S. dollars per barrel
 
($1 = 4.3600 ringgit)
($1 = 66.0000 Indian rupees)
($1 = 6.3677 Chinese yuan)
- Reuters