MUMBAI, April 22 (Reuters) - Indian soyoil futures rebounded after hitting fresh contract lows on Thursday afternoon as a recovery in Malaysian palm oil triggered bargain-hunting, analysts said.
Soybean and rapeseed futures rose as overnight gains in the U.S. soybean futures and concerns over domestic rapeseed output have bolstered sentiment, they said.
"Market is anticipating improvement in soyoil demand in coming weeks due to wedding season. But today it is weak," said an analyst with Sharekhan Commodities.
At 2:18 p.m., the May soyoil contract NSOK0 on the National Commodity and Derivatives Exchange was 0.27 percent up at 444.6 rupees per 10 kg, after hitting a contract low of 442.5 rupees earlier in the day.
Malaysian palm oil futures rose by half a percent on Thursday on the weaker ringgit and higher vegetable oil markets, although some investors were still cautious. See [ID:nSGE63L06U]
The May soybean contract NSBK0 was up 0.69 percent at 1,967 rupees per 100 kg, while the May rapeseed contract NRSK0 was 0.19 percent higher at 501.30 rupees per 20 kg.
U.S. soybean futures rose more than 1 percent on Wednesday and climbed above $10 a bushel for the first time in three months, buoyed by technical buying and surging Chinese demand.
In the Indore spot market in top producer Madhya Pradesh, soybean price nudged 1 rupee lower to 1,942 rupees, and soyoil edged lower by 0.45 rupee to 441.9 rupees.
In the Jaipur spot market in top producing Rajasthan state, the price edged down 3.25 rupees to 496.95 rupees per 20 kg.
An industry body said in March the country's rapeseed output in 2010 is expected to rise marginally to 6.3 million tonnes on good weather conditions.
Traders said output may be lower than estimates considering the arrivals in spot market.
India's March oilmeal exports slumped 34 percent from a year earlier, falling for the fifth straight month, due to weak demand from Vietnam, Japan, South Korea, Indonesia, Thailand and China, a trade body said. See [ID:nSGE6340AB]
(Reporting by Rajendra Jadhav; Editing by Ramya Venugopal)
