Credit: REUTERS/HASNOOR HUSSAINUpdate with midday prices, analyst comments
JAKARTA, Aug 25 (Reuters) - Malaysian palm oil futures rose on Friday tracking stronger rival vegetable oils, and were set for a second straight week of gains.
The benchmark palm oil contract FCPOc3 for November delivery on the Bursa Malaysia Derivatives Exchange gained 30 ringgit, or 0.77% to 3,911 ringgit ($841.08) per metric ton by midday break.
For the week, the contract has gained 1.03% so far, and is on track to extend gains of 4.1% from last week.
"Bursa Malaysia crude palm oil futures opened higher today on the back of a strong palm oil buying from China in physical markets for September and October shipments since Thursday," said Anilkumar Bagani, commodity research head at Mumbai-based Sunvin Group.
However, the sideways movement in the soyoil futures market at Chicago Board of Trade (CBOT) and palm oils narrowed down discount, he added.
Dalian's most-active soyoil contract DBYcv1 was up 1.91%, while its palm oil contract DCPcv1 grew 0.81%. Soyoil prices on the CBOT BOc2 rose 0.64%.
Palm oil is affected by price movements in related oils as they compete for a share in the global vegetable oils market.
Exports of Malaysian palm oil products for August 1-25 fell 7.8% to 974,235 tons from 1,056,830 tons during July 1-25, cargo surveyor Intertek Testing Services showed during midday break.
Indonesia's palm oil exports, including refined products in June stood at 3.45 million tons, while stock by the end of June was at 3.69 million tons, data from Indonesian Palm Oil Association showed on Thursday.
Palm oil looks neutral in a range of 3,857-3,932 ringgit per ton, and an escape could suggest a direction, said Reuters technical analyst Wang Tao. TECH/C
($1 = 4.6500 ringgit)
(Reporting by Bernadette Christina; Editing by Rashmi Aich and Varun H K)
((Bernadette.Christina@thomsonreuters.com))
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