KUALA LUMPUR, April 7 (Reuters) - Malaysian palm oil
futures eased on Friday, extending a two-day decline ahead of
key data, although the contract is set for a weekly rise buoyed
by expectations of tightening supply.
The benchmark palm oil contract for June delivery
on the Bursa Malaysia Derivatives Exchange eased 2 ringgit, or
0.05%, to 3,821 ringgit ($868.41) a tonne during early trade.
For the week, palm has risen 1.5% so far, advancing for a
second consecutive week.
FUNDAMENTALS
* Investors are awaiting Malaysian Palm Oil Board (MPOB)
data due on Monday to determine further price direction.
* A Reuters' survey ahead of MPOB data forecast Malaysia's
palm oil inventories tumbling to an eight-month low of 1.77
million tonnes at end-March, as exports soared ahead of the
month of Ramadan.
* Dalian's most-active soyoil contract eased 0.7%,
while its palm oil contract fell 0.7%. The Chicago
Board of Trade was closed for a public holiday.
* Palm oil is affected by price movements in related oils as
they compete for a share in the global vegetable oils market.
* Oil prices were little changed on Thursday but posted a
third weekly gain as markets weighed further production cuts
targeted by OPEC+ and falling U.S. oil inventories against fears
about the global economic outlook. [O/R]
* Stronger crude futures make palm a more attractive option
for biodiesel feedstock.
MARKET NEWS
* U.S. stocks reversed an earlier sell-off to close higher
on Thursday, and Treasury yields steadied, as investors digested
weak labor market data ahead of a U.S. jobs report, seeking
signs the Federal Reserve could pause on rate hikes. [MKTS/GLOB]
DATA/EVENTS (GMT)
0145 China Caixin Services PMI Mar
0430 India Cash Reserve Ratio
0600 Germany Industrial Output Feb
0600 UK Halifax House Prices Mar
0830 UK All Sector PMI Mar
0830 UK S&P Global/CIPS Cons PMI Mar
1230 US Initial Jobless Claims weekly
($1 = 4.4000 ringgit)
(Reporting by Mei Mei Chu; Editing by Krishna Chandra Eluri)
((Meifong.chu@thomsonreuters.com))
((For a table on Malaysian physical palm oil prices, including refined oil, Reuters Terminal users can double click on or type .
* To view freight rates from Peninsula Malaysia/Sumatra to China, India, Pakistan and Rotterdam, please key in and press enter, or double click between the brackets.
* Reuters Terminal users can see cash and futures edible oil prices by double clicking on the codes in the brackets: To go to the next page in the same chain, hit F12. To go back, hit F11.
Vegetable oils
Malaysian palm oil exports
CBOT soyoil futures <0#BO:>
CBOT soybean futures <0#S:>
Indian solvent
Dalian Commodity Exchange
Dalian soyoil futures <0#DBY:>
Dalian refined palm oil futures <0#DCP:>
Zhengzhou rapeseed oil <0#COI:>
European edible oil prices/trades [OILS/E] ))
Keywords: ASIA VEGOILS/
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