MUMBAI (commoditiescontrol) - India crude palm oil and refined soy oil futures edged lower on Tuesday thanks to strong rupee and weak U.S market.
U.S soy oil futures dropped 0.45 percent after 1.45 percent gain on previous session.
CBOT Soy oil on Monday rose due to weak dollar coupled with rising concern about supply from rival Argentina, where crops are threatened by erratic weather condition. However profit booking weighed prices in early Asian trade.
The rival Malaysian palm oil futures closed 0.67 percent higher during mid-session, after cargo surveyor Intertek reported palm oil export during 1-10 December up by 8 percent against same period a month ago.
However, big upside was capped as ringgit was strong 0.21 percent after hitting 19-year low last week.
In another news, Malaysia palm oil board released December monthly supply-demand estimate stating palm oil production down 6.4 percent at 14.73 lakh tonnes against November, while December ending stock was up marginal 0.2 percent at 16.65 lakh tonnes. Palm oil exports were down 7.5 percent at 12.67 lakh tonnes against November. (Full Report)
Over-all data was neutral, as analysts were already expecting low production in month of December.
In domestic market, edible oil prices were pressured by strength in local currency Rupee, which was trading 0.08 percent strong.
Crude palm oil most active January contract on the Multi Commodity Exchange (MCX) was lower 0.42 percent or Rs 2.5 at Rs 582.3/10kg against previous closing of Rs 584.8 Forward February contract was down 0.41 percent at Rs 574.4 against Rs 576.8 on previous session.
Refined soy oil February contract on NCDEX was down 0.16 percent or Rs 1.2 at Rs 715.95/10kg against previous closing of Rs 717.15 while current January contract was trading lower 0.22 percent or Rs 1.6 at Rs 724.45 against previous closing of Rs 726.05
According to CC analyst, crude Palm Oil (CPO) January contract trend is up with resistance is placed at Rs 586-589 and support is seen at Rs 583-580
Refined soy oil February contract trend is up with resistance seen at Rs 719-724 while support is placed at Rs 714-709
(By Commoditiescontrol Bureau; +91-22-40015516)