Palm edges lower, on track for second day of declines

Malaysian palm oil futures edged lower in a range-bound trading on Thursday ahead of likely price forecasts at an industry event and as crude oil prices fell. The benchmark palm oil contract for April delivery on the Bursa Malaysia Derivatives Exchange eased 0.1% to RM2,174 a tonne at noon, heading for a second straight session of losses. Trading volumes stood at 10,288 lots of 25 tonnes each at the midday break.

Palm oil may fall to RM2,150

Palm oil may fall to RM2,150 per tonne, to fill a gap forming on between Jan 15 and Jan 16. The gap was basically due to a switch of the contracts between the front month and the second month. It looks like a common gap which will be filled. The gap is not powerful enough to alter the bearish readings. An uptrend from RM1,940 is still believed to have peaked around RM2,198, the 176.4% projection level of an uptrend from RM1,979.

Malaysia urges WHO to retract, rectify discriminatory palm oil report

The Primary Industries Ministry said today it will utilise all available channels to urge the World Health Organisation (WHO) to retract or rectify its report that drew a parallel between lobbying tactics used by the palm oil industry and those in the alcohol and tobacco sectors. According to news reports, WHO had in a study published last week claimed that the tactics were used to influence public and political discussion on health and environmental effects of palm oil products.

Palm falls on weaker US soyoil, crude oil prices

Malaysian palm oil futures edged down on Wednesday, though remained range-bound, tracking weakness in soyoil overnight on the U.S. Chicago Board of Trade and crude oil prices. The benchmark palm oil contract for April delivery on the Bursa Malaysia Derivatives Exchange was down 0.4 percent at 2,175 ringgit ($529.45) a tonne at the close of trade.

Malaysia sends letter to France over declassification of palm oil

Malaysia has handed over a letter to France explaining its position on the French National Assembly’s decision to declassify palm oil as biodiesel feedstock in the country. Foreign Minister Datuk Saifuddin Abdullah said the letter from Prime Minister Tun Dr Mahathir Mohamad to French President Emmanuel Macron was handed over to the French Ambassador in Kuala Lumpur on Monday. On Dec 19, 2018, the French National Assembly adopted an amendment to its 2019 Budget to exclude the use of palm oil as biodiesel feedstock and to end tax incentives for palm oil as of 2020.

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