Palm eases on weak Chicago soyoil; firmer crude oil and weak ringgit limit losses
Corrects to change dateline to Oct. 3
KUALA LUMPUR, Oct 3 (Reuters) -Malaysian palm oil futures slipped on Thursday, weighed down by the weakness in the Chicago soyoil contract, while firmer crude oil prices and a weaker ringgit capped losses.
The benchmark palm oil contract FCPOc3 for December delivery on the Bursa Malaysia Derivatives Exchange fell 63 ringgit, or 1.5%, to 4,133 ringgit ($980.78) a metric ton in early trade.
The contract fell 1.14% in overnight trade, after jumping more than 4% on Wednesday.
FUNDAMENTALS
* Soyoil prices on the Chicago Board of Trade BOcv1 fell 0.27%. Dalian's vegetable oil markets were closed for China's Golden Week holiday.
* Palm oil tracks prices of rival edible oils as they compete for a share of the global vegetable oils market.
* Oil prices ticked higher in early trade as investors weighed the escalating conflict in the Middle East and the potential for disruption to crude flows against an amply-supplied global market. O/R
* Brent crude futures LCOc1 for December were up 0.89% at $74.56 a barrel as of 0246 GMT. Stronger crude oil futures make palm a more attractive option for biodiesel feedstock.
* The ringgit MYR=, palm's currency of trade, weakened 1.01% against the U.S. dollar, making the commodity cheaper for buyers holding foreign currencies.
* The European Commission said it would propose delaying the implementation of a law banning the import of commodities linked to deforestation by a year, following calls from industries and governments around the world.
* Palm oil may retrace moderately to 4,120 ringgit per metric ton, before retesting resistance at 4,206 ringgit, Reuters technical analyst Wang Tao said. TECH/C
MARKET NEWS
* Japanese stocks jumped and the yen dropped on Thursday, as the risk of further tightening in monetary policy this year faded, while the sizzling rally in Hong Kong's share market took a breather. MKTS/GLOB
DATA/EVENTS
0750 France HCOB - Services PMI Sept
0750 France HCOB - Composite PMI Sept
0755 Germany HCOB Services PMI Sept
0755 Germany HCOB Composite Final PMI Sept
0800 EU HCOB Services Final PMI Sept
0800 EU HCOB - Composite Final PMI Sept
0830 UK S&P Global PMI: Composite - Output Sept
0830 UK Reserve Assets Total Sept
0900 Germany Overall Comprehensive Risk Q4
0900 France Overall Comprehensive Risk Q4
0900 UK Overall Comprehensive Risk Q4
1230 US Initial Jobless Clm 28 Sep, w/e
1345 US S&P Global Comp Final PMI Sept
1345 US S&P Global Svcs PMI Final Sept
1400 US Factory Orders MM Aug
1400 US ISM N-Mfg PMI Sept
($1 = 4.2140 ringgit)
text_section_type="notes">For a table on Malaysian physical palm oil prices, including refined oil, Reuters Terminal users can double click on or type OILS/MY01. * To view freight rates from Peninsula Malaysia/Sumatra to China, India, Pakistan and Rotterdam, please key in OILS/ASIA2 and press enter, or double click between the brackets. * Reuters Terminal users can see cash and futures edible oil prices by double clicking on the codes in the brackets: To go to the next page in the same chain, hit F12. To go back, hit F11. Vegetable oils OILS/ASIA1 Malaysian palm oil exports SGSPALM1CBOT soyoil futures 0#BO: CBOT soybean futures 0#S: Indian solvent SOLVENT01 Dalian Commodity Exchange DC/MENUDalian soyoil futures 0#DBY:Dalian refined palm oil futures 0#DCP:Zhengzhou rapeseed oil 0#COI:European edible oil prices/trades OILS/E
Reporting by Ashley Tang; Editing by Sumana Nandy
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