RTRS:VEGOILS-Palm oil ends higher on strong exports ahead of Ramadan
* Malaysia's June 1-15 palm oil exports jump 18.5 pct -ITS
* Exports up 15.7 pct for same period -SGS
* Malaysia keeps crude palm oil export tax unchanged since
March
(Updates prices, adds SGS data)
By Chew Yee Kiat
KUALA LUMPUR, June 17 (Reuters) - Malaysian palm oil futures
ended higher on Monday, after data showed exports rose in the
first 15 days of the month as buyers stocked up ahead of the
Muslim holy month of Ramadan, although gains were capped by
uncertainty in the global markets.
Shipments of Malaysian palm oil products from June 1 to 15
jumped 18.5 percent from a month ago, cargo surveyor Intertek
Testing Services (ITS) said on Saturday. Societe Generale de
Surveillance (SGS) pegged the rise in shipments at 15.7 percent
for the same period.
The spike in exports reflect higher purchases by India and
Pakistan ahead of Ramadan in July, when communal feasting
typically drives up consumption of the edible oil.
"This jump in export demand for palm oil products is
significant because if we look at the first 15 days exports
number for the past six months, this is the highest figure,"
said Singapore-based Phillip Futures in a note to clients,
referring to the export number of 709,860 tonnes from ITS.
However, the brokerage added that "unless the 2,500 ringgit
level is broken on the upside, this current rally is considered
as a relief rally".
The benchmark September contract on the Bursa
Malaysia Derivatives Exchange gained 0.9 percent to close at
2,459 ringgit ($785) per tonne, after trading in a range between
2,439 and 2,467 ringgit.
Total traded volumes stood at 20,015 lots of 25 tonnes each,
well below the average 35,000 lots, as fragile sentiment ahead
of this week's U.S. Federal Reserve policy meeting kept
investors on the sidelines.
Market participants fear the U.S. central bank could
announce moves to curb its stimulus programme, denting global
growth and commodity demand.
Malaysia, the world's No.2 palm oil producer, will set its
crude palm oil export tax for July at 4.5 percent, unchanged
since March, a government circular showed.
In other markets, Brent crude steadied above $106 per barrel
as a superpower standoff over the Syrian civil war intensified,
raising the risk of conflict spilling into the Middle East oil
producing region.
In vegetable oil markets, U.S. soyoil for July gained
0.4 percent in late Asian trading. The most-active September
soybean oil contract on the Dalian Commodities Exchange
gained 0.9 percent.
Palm, soy and crude oil prices at 1004 GMT
Contract Month Last Change Low High Volume
MY PALM OIL JUL3 2459 +24.00 2438 2464 689
MY PALM OIL AUG3 2464 +25.00 2442 2472 6818
MY PALM OIL SEP3 2459 +23.00 2439 2467 9718
CHINA PALM OLEIN JAN4 6256 +46.00 6210 6276 477216
CHINA SOYOIL SEP3 7446 +66.00 7360 7458 244142
CBOT SOY OIL JUL3 48.67 +0.19 48.10 48.75 4801
NYMEX CRUDE JUL3 98.58 +0.73 97.38 98.67 21707
Palm oil prices in Malaysian ringgit per tonne
CBOT soy oil in U.S. cents per pound
Dalian soy oil and RBD palm olein in Chinese yuan per tonne
Crude in U.S. dollars per barrel
($1=3.131 ringgit)