Palm Futures Lower on Selling Pressure

CRUDE palm oil futures on Bursa Malaysia Derivatives closed sharply lower yesterday on selling pressure, dealers said.

They

said trading was volatile despite positive export data for the first 20

days of this month as players were worried about the China’s move to

step up monetary controls which may limit the country’s demand for

vegetable oils.

Cargo surveyor Societe Generale de Surveillance

yesterday reported that Malaysian palm oil export for November 1-20 rose

18.3 per cent to 1.099 million tonnes from 929,473 tonnes during the

same period last month.

December 2010 fell RM29 to RM3,308, January 2011 dropped RM130 to

RM3,220, February 2011 was RM142 lower at RM3,184 and March 2011 plunged

RM148 to RM3,169.

Total volume declined to 20,887 lots from

22,335 lots last Friday while open interest increased to 75,732

contracts from 75,676 contracts.

On the physical market, November South declined to RM3,300 per tonne from RM3,350 per tonne last Friday.

Source : Business Times

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