VEGOILS Palm Swings As Profit Takes Counter Stronger Rival Oils

KUALA LUMPUR, Dec.27 (Reuters) – Malaysian palm futures hovered between gains and losses on Monday, as lower exports and stronger rival oils thwarted profit taking after the contract hit its steepest big gain in four and a half months during the previous session.
The benchmark palm oil contract for March delivery on the Bursa Malaysia Derivatives Exchange rose 0.13% to 4,655 ringgit ($ 1,111.51) at the start of trading. It jumped 3.8% on Friday, registering its biggest gain since August 11.
FUNDAMENTALS
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* Dalian’s soybean oil contract for delivery in May rose 1.57%, while its palm oil contract gained 1.63%. Chicago Board of Trade soybean oil prices for delivery in May rose 0.67%.
* Palm oil is affected by fluctuations in the prices of related oils, as they compete for a share of the global vegetable oil market.
* Malaysian palm oil product exports from Dec.1 to 25 fell 2.6% to 1,306,408 tonnes, from 1,340,778 tonnes shipped in the same period a month earlier, the freight expert Intertek Testing Services.
* Oil prices were mixed, with Brent edging higher as US crude futures slipped after airlines canceled thousands of flights to the United States over the Christmas holidays amid soaring prices. COVID-19 infections.
* Stronger crude oil futures generally make palm oil a more attractive option for biodiesel feedstock.
* Palm oil could break through resistance at 4,676 ringgits per tonne and climb into a range of 4,751 ringgits to 4,812 ringgits, Reuters technical analyst Wang Tao said.
DATA / EVENTS
No data / major event expected.
($ 1 = 4.1880 ringgits)
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Reporting by Liz Lee; Editing by Subhranshu Sahu
Our standards: Thomson Reuters Trust Principles.