Palm oil advanced on speculation that demand may rebound this half as gains in crude oil boost the use of vegetable oils as biofuel feedstock.
The contract for delivery in October gained 0.7 percent to close at 2,272 ringgit ($715) a metric ton on the Bursa Malaysia Derivatives. Futures lost 5.4 in the past two weeks, extending losses in the past year to 24 percent. Palm for local physical delivery in August was at 2,335 ringgit, data compiled by Bloomberg show.
West Texas Intermediate crude rose for a fourth day on declining stockpiles. While palm production will pick up from this month, demand will also expand because of festivals in the main importing countries, said Yusof Basiron, chief executive officer of the Malaysian Palm Oil Council. Demand from large consuming countries like China and India will probably increase, Yusof said in a presentation for an online seminar today.
bloomberg.com»
The contract for delivery in October gained 0.7 percent to close at 2,272 ringgit ($715) a metric ton on the Bursa Malaysia Derivatives. Futures lost 5.4 in the past two weeks, extending losses in the past year to 24 percent. Palm for local physical delivery in August was at 2,335 ringgit, data compiled by Bloomberg show.
West Texas Intermediate crude rose for a fourth day on declining stockpiles. While palm production will pick up from this month, demand will also expand because of festivals in the main importing countries, said Yusof Basiron, chief executive officer of the Malaysian Palm Oil Council. Demand from large consuming countries like China and India will probably increase, Yusof said in a presentation for an online seminar today.
bloomberg.com»