Palm futures dip on tracks weaker soya oil

CPO FUTURES

KUALA LUMPUR: Crude palm oil futures contracts closed lower yesterday, tracking the weaker soybean oil markets, dealers said.

Meanwhile, local palm oil stock level released by the Malaysian Palm Oil Board lost 5.2 per cent to 2.44 million tonnes in February.

March 2013 fell RM40 to RM2,400, April 2013 lost RM36 to RM2,404, May 2013 was RM39 lower at RM2,411 and June 2013 fell RM37 to RM2,414 a tonne.

Turnover rose to 39,868 lots from 31,687 lots while open interest rose to 203,879 from 196,780 contracts previously.

On the physical market, March South declined RM130 to RM2,370 a tonne.

OIL

LONDON: Oil climbed towards US$111 (US$1.00 = RM3.09) a barrel yesterday, reversing losses earlier in the day as a slightly weaker dollar lured investors.

Crude was pressured in earlier trade by the prospect of slower demand growth in China and the US.

Brent crude was up 55 cents at US$110.77 by 1330 GMT, after slipping to US$109.55 earlier. Meannwhile US oil was up 95 cents at US$93.01.

“Cold weather and a slightly weaker dollar sparked off some technical buying by the funds who had been liquidating their positions,” Christopher Bellew of Jefferies Bache in London said.

RUBBER

KUALA LUMPUR: Rubber prices closed sharply lower yesterday on stronger ringgit against US dollar, dealers said.

A dealer said other factors were the negative sentiments resulting from the industry data that showed an increase in rubber inventories at Japanese ports and disappointing car sales data from China.

At noon, the Malaysian Rubber Board's official physical price for tyre-grade SMR20 fell 10 sen to 892.5 sen a kg, and latex-in-bulk was 0.5 sen lower at 626.5 sen.

The unofficial closing price for tyre-grade SMR20 slipped 26.5 sen to 875.5 sen, and latex-in-bulk lost two sen to 625.5 sen a kg.

GOLD

LONDON: Gold rose above US$1,590 an ounce yesterday, gaining nearly one per cent following comments by an ECB official that eurozone inflation pressures are abating.

Accommodative monetary policies favour gold as low interest rates encourage investors to put money into the non-interest-bearing assets.

Spot gold rose 0.8 per cent to US$1,593.30 an ounce by 1145GMT, breaking above the US$1,560 and US$1,585 range in which it had been confined since the start of March.

In the meantime, US gold futures for April delivery appreciated by 0.2 per cent to close at US$1,581.80.

TIN

KUALA LUMPUR: The tin price on the Kuala Lumpur Tin Market (KLTM) closed unchanged at yesterday's US$23,650 a tonne, dealers said.

The metal price on the London Metal Exchange (LME)however, fell by US$75 to US$23,725 a tonne.

A dealer said the KLTM price remained unchanged due to a correction on the LME.

"It was a quiet market today with scattered buying, dominated by Europeans, Japanese and local traders," he added.

At the opening bell, offers outnumbered bids by 46 tonnes to 41 tonnes. Turnover was at 41 tonnes from Monday's 34 tonnes and the premium between the KLTM and the LME widened to US$355 a tonne from US$280 a tonne previously. - Agencies