VEGOILS-Palm gains 3% as Russian-Ukrainian war prolongs global supply issues
KUALA LUMPUR, April 14 (Reuters) – Malaysian palm oil futures jumped 3% early Thursday, following strength in global vegetable oil prices, supported by a still-tight supply outlook as the Russia-Ukraine war rages.
The reference palm oil contract FCPOc3 for June delivery on the Bursa Malaysia Derivatives Exchange gained 151 ringgits, or 2.46%, to 6,286 ringgits ($1,488.16) a tonne at the start of trading, up for a fourth session in five.
FUNDAMENTALS
* Argentine grain truck drivers, industry groups and government officials failed to make a breakthrough in talks on Wednesday to end a strike, threatening corn and soybean exports during the key harvest season harvests.
* Price of soybean oil at the Chicago Board of Trade BOcv1 rose 0.7%, extending a 3.5% gain overnight. Dalian’s most active soybean oil contract DBYcv1 rose 1.5%, while its palm oil contract DCPcv1 gained 3%.
* Palm oil is impacted by related oil price movements as they compete for share of the global vegetable oil market.
* Palm oil could test resistance at 6,326 ringgit a tonne, a break above could lead to a gain in the 6,454-6,548 ringgit range, Reuters technical analyst Wang Tao said. TECHNICAL/C
MARKET NEWS
* Asian stocks followed Wall Street higher on Thursday as US Treasury yields stabilized and the dollar retreated as the latest US data raised hopes that inflation could be close to a peak, although several major central banks raised rates aggressively. MKTS/GLOB
* Oil futures fell slightly, after rising sharply in the first half of the week as traders weighed a bigger-than-expected rise in U.S. oil inventories and tighter supply world. OR
DATA/EVENTS (GMT)
0130 Australia Unemployment rate March
1145 ECB EU Deposit Rate April
1145 EU ECB refinancing rate April
1230 U.S. Retail Sales MM March
1230 US Initial Clm unemployed weekly
1400 US U Mich Sentiment Preliminary April
1:00 p.m. – IMF Managing Director Kristalina Georgieva discusses
upcoming IMF/World Bank Spring Meetings
12:30 p.m. – Press conference following the Governing Council of the ECB
meeting in Frankfurt
($1 = 4.2240 ringgit)
cpohttps://tmsnrt.rs/38QSvZq
(Reporting by Mei Mei Chu; Editing by Rashmi Aich)
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