* Energy market gains push up palm oil prices -trader * Palm oil to extend climb to 2,805-2,821 rgt -technicals By Anuradha Raghu KUALA LUMPUR, Feb 24 (Reuters) - Malaysian palm oil futures rose on Monday as gains in energy markets signalled that more of the tropical oil could be snapped up for fuel use, with prices further lifted by prospects of tighter global edible oil supplies as unfavourable weather hinders the growth of crops in major oilseed producers. Brent futures climbed above $110 a barrel on Monday, defying the losses seen in most other risk assets on expectations of revived demand growth across industrialised and emerging nations. U.S. oil rose 27 cents to $102.47, after climbing for the sixth week in its longest winning streak in more than a year. Higher crude oil prices would boost demand for palm oil as an alternative feedstock to produce biofuels. Crude palm oil is increasingly used as a "green" additive to fossil fuels as it can cut costs and reduce environmentally damaging emissions. "There's a strong push from the soft oils and energy markets," said a trader with a foreign commodities brokerage. "The energy market has been very supportive to palm ... there is no downside in sight." By the midday break, the benchmark May contract on the Bursa Malaysia Derivatives Exchange had edged up 0.7 percent to 2,774 ringgit ($841) per tonne, with prices trading above a 17-month high that was first touched last Tuesday. Total traded volume stood at 15,127 lots of 25 tonnes, above the usual 12,500 lots. Technicals showed Malaysian palm oil may extend its gain into a range of 2,805-2,821 ringgit, as it has cleared resistance at 2,780 ringgit, said Reuters market analyst Wang Tao. A recovery in exports in February, as well as concerns of dry weather hurting production of palm fruit in Malaysia and Indonesia, have helped prices rise more than 8 percent so far this month, setting them on track to post their biggest monthly gain in four. Hot spells have also made planting difficult in key soy-growing regions in South America, threatening yields of the competing oilseed. Smaller supplies of soybeans for crushing would stoke soyoil prices, potentially pushing buyers to rival palm oil instead. In other competing vegetable oil markets, the U.S. soyoil contract for May slipped 0.3 percent in early Asian trade, while the most active May soybean oil contract on the Dalian Commodities Exchange rose 0.4 percent. Indonesia, the world's biggest producer, said its palm oil exports dropped 23 percent in January from a month ago to 1.57 million tonnes, due to weaker demand from India and Pakistan. Market participants will be keeping an eye on Malaysian export data due on Tuesday to gauge global demand for the tropical oil, but say that February end-stocks are widely slated to fall from the current 1.93-million tonne level. "Unless exports pick up further or drop drastically, I don't think it's going to be a factor. We will still see stocks dropping for sure," said the Kuala Lumpur-based trader. Palm, soy and crude oil prices at 0600 GMT Contract Month Last Change Low High Volume MY PALM OIL MAR4 2789 +13.00 2785 2789 31 MY PALM OIL APR4 2795 +18.00 2773 2796 2299 MY PALM OIL MAY4 2774 +19.00 2753 2777 9024 CHINA PALM OLEIN MAY4 6140 +52.00 6074 6156 448320 CHINA SOYOIL MAY4 6812 +22.00 6760 6824 237020 CBOT SOY OIL MAY4 41.08 -0.15 40.99 41.23 5302 NYMEX CRUDE APR4 102.51 +0.30 102.25 102.70 6302 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

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