Wednesday, January 22, 2025

Oil Products News

Indonesia suspends subsidies on palm oil biodiesel, replanting and replanting

An official announced on Thursday that Indonesia has temporarily frozen the distribution of subsidies to its mandatory biodiesel programmes and palm oil replanting programs due to a restructuring at its palm fund agency. Achmad Maulizal, an official at BPDPKS said that the agency is undergoing changes since it now has responsibility for managing cocoa and coconut funds. The agency is responsible for collecting export levies on palm oil products, and then distributing funds to finance programmes like mandatory biodiesel production, replanting, and research.

Shell warns about weaker LNG and oil sales in the fourth quarter

Shell cut its forecast for liquefied gas production in the fourth quarter of the year on Wednesday. It also said that oil and gas trading is expected to be lower than the results from the previous three-month period. Shell said in a trading update before the full-year results on Jan. 30, it would also take non-cash impairments of $1.5 billion up to $3 billion, including $1.2 billion for its renewables division linked to European assets and North American ones.

VEGOILS-Palm closes higher despite weak soyoil, sluggish export demand

The price of palm oil in Malaysia rose on Tuesday after a period of declines. However, weak soyoil and a weakened export demand limited gains. At the close, the benchmark March palm oil contract on Bursa Derivatives Exchange rose 35 ringgit or 0.81% to 4,373 Ringgit ($975.03) per metric ton. The contract lost 0.69% the previous session. David Ng, a proprietary trading at Kuala Lumpur's Iceberg X Sdn. Bhd., said that the price of crude palm oil fell due to lower soybean oil prices in Asian hours and a slow export pace.

Palm oil trades in a sideways range due to weak export demand and soyoil price pressure

After trading in a narrow range on Tuesday due to weaker soyoil and muted demand for exports, Malaysian palm futures are little changed. By midday, the benchmark March palm oil contract on Bursa Derivatives Exchange had lost 2 ringgit or 0.05% to 4,336 Ringgit ($962.49 a metric tonne). The contract fell by 0.69% during the previous session. Crude palm oil fell in the morning session. This was due to lower soybean oil prices during Asian trading hours…

Palm slips due to poor demand in India

The price of Malaysian palm oil futures fell on Monday due to weak demand in India, a key destination market. At the close, the benchmark March palm oil contract on Bursa Derivatives Exchange fell 26 ringgit (0.6%), to 4,342 Ringgit ($963.18) per metric ton. The contract increased by 0.81% during the previous session. A Kuala Lumpur based trader stated that the weakness in the palm market was due to concerns about exports. According to Intertek Testing Services…

Palm oil demand in India is low

Malaysian palm futures declined on Monday due to a sluggish Indian demand, which is a key destination. At the midday break, the benchmark March palm oil contract on the Bursa Derivatives exchange in Malaysia shed 30 ringgit or 0.69% to 4,338 Ringgit ($961.86) per metric ton. The contract increased by 0.81% during the previous session. A Kuala Lumpur based trader stated that the weakness in the palm market at midday was due to concerns about exports.

Palm oil prices rise on Indian purchases but still set to lose money each week

Malaysian palm futures reversed their early losses on the Friday as India, the world's largest edible oil importer, increased purchases in the last two days. However, they are still expected to decline by a significant amount each week. By midday, the benchmark contract for palm oil delivery in March on the Bursa Derivatives Market of Malaysia had gained 0.48% and reached 4,354 Ringgit ($968.63). This week, the contract has fallen by 5.84%. Anilkumar bagani…

Palm oil prices drop on the back of heavy sales and a weakening in Dalian palm oil

After the Christmas holiday, Malaysian palm oil futures fell on Thursday due to heavy selling and weakness of Dalian palm olein. At midday, the benchmark March palm oil contract on Bursa Malaysia's Derivatives exchange fell 12 ringgit or 0.26% to 4,546 Ringgit ($1,017.69). On Monday and Tuesday, the contract increased by 2.82%. A Kuala Lumpur based trader reported that crude palm oil futures were lower due to heavy morning selling as well as overnight weakness in Dalian Palm Olein.

Palm extends its losses and records second weekly loss

Malaysian palm futures closed lower on Friday, and recorded a second weekly loss in a row due to sluggish demand for exports. The benchmark contract for palm oil delivery in March on the Bursa Derivatives Market fell by 74 ringgit or 1.64% to 4,434 Ringgit per metric ton. The contract fell 9.6% in the last week. A Kuala Lumpur based trader said that crude palm oil's losses continued as the export demand was weak. This week's figures showed continued declines. The trader stated that the market expects exports to fall for the next ten days.

Palme ends the week with a loss of more than 4%

Malaysian palm oils futures continued to lose money on Friday as they tracked the weakness of rival vegetable oil at Chicago and Dalian and recorded a loss for the week. On the closing, the benchmark palm oil contract on Bursa Malaysia's Derivatives exchange for February delivery fell 17 ringgit or 0.35% to 4,904 Ringgit ($1,102.77). The contract dropped 4.37% in the last week. The futures appear to be trading in a range, waiting for a new lead. A Kuala…

VEGOILS - Palm trades slow on the back of weaker oil rivals; set to a loss for the week

Malaysian palm oils futures continued to fall on Friday as they tracked the weakness of rival vegetable oil at Chicago and Dalian, and were expected to record a loss for the week. By midday, the benchmark palm oil contract on Bursa Derivatives Exchange for February delivery had fallen 35 ringgit or 0.71% to 4,886 Ringgit ($1,097.98). This week, the contract has dropped 4.72%. The futures appear to be trading in a range, waiting for a new lead. A Kuala…

Dalian palm and VEGOILS-Palm end lower in profit-booking

Malaysian palm futures continued to lose on Wednesday as traders booked profits after early gains that had been triggered by a fall in November stocks. The benchmark palm-oil contract for February delivery at Bursa Malaysia's Derivatives exchange lost 96 Ringgit or 1.94% to $4,855 Ringgit ($1,095.94), a metric tonne, at the close. Malaysian palm oil stocks fell for the second consecutive month, dropping 2.6% from November to 1,84 million tons. This was revealed by the Malaysian Palm Oil Board on Tuesday.

Sources say that Chinese exporters will increase prices and renegotiate after the tax rebates are cut.

Analysts and traders said that Chinese exporters will increase prices on a variety of products, from used cooking oil to aluminium, and renegotiate their contracts to pass the cost of Beijing’s tax incentives. On Friday, the world's second-largest economy announced that it would reduce its export tax rebate rates for certain refined oil products, solar panels, batteries, and non-metallic minerals from 13% down to 9%. It also said that it would cancel the rebates for products made of aluminium…

US soyoil prices jump as China reduces export incentives for biofuel feedstocks competing with US soyoil

U.S. Soyoil Futures rose 2% on the Friday after China announced it would reduce export incentives for certain products, including used cooking oils. Used cooking oil is a low-cost source of feedstock that U.S. Biofuels Makers use instead domestically produced soybean oil. China's Finance Ministry said that it will reduce or cancel export-tax refunds beginning next month. This includes some refined oil products, which traders have said include used cooking oil (UCO). This announcement is the latest wildcard in the U.S.

Palm oil drops for the third consecutive day due to weaker competitors and selling pressure

Malaysian palm futures ended lower on Thursday for the third session in a row, due to weakness in the prices of vegetable oils listed in Dalian and pressure from sellers in crude palm (CPO). The benchmark Bursa Derivatives Exchange palm oil contract closed down 23 ringgit or 0.46% at $4,964 Ringgit ($1,108.53). Paramalingam Supramaniam is the director of brokerage Pelindung Bestari in Selangor. He said that the CPO market was suffering from the constant selling pressure. This has generated interest and kept offers high for the local olein.

Palm oil suffers heavy losses in Dalian competitors oils

The prices of vegetable oils rivals in Dalian have been falling heavily, which has led to a fall in the palm oil futures in Malaysia for a second consecutive session. By midday, the benchmark palm oil contract on Bursa Derivatives Exchange for January delivery had fallen 114 ringgit or 2.27% to 4,912 Ringgit ($1,103.57). Prices have dropped sharply below the 5,000-ringgit mark, which is exacerbated due to weakness in the Chinese vegetable oil market. This indicates a consolidation after the recent bull market from Sept. 18 through Nov.

The price of VEGOILS - Palm has fallen due to profit taking before the GAPKI conference

Malaysian palm futures declined on Tuesday, after four sessions of gains. Profit taking was a factor in the decline. This is due to profit-taking ahead of the Indonesian Palm Oil Association's (GAPKI), which will be held later this week. By midday, the benchmark palm oil contract on Bursa Derivatives Exchange for January delivery had fallen 41 ringgit or 0.84% to 4,850 Ringgit ($1,110.86). Profit-taking is evident today, just before the GAPKI Conference.

Palm oil ends the day higher than rival oils as market focuses on key data

Malaysian palm oil futures closed Monday after rival vegetable oils. The market is waiting for data from the Malaysian Palm Oil Board and export figures. On the closing, the benchmark palm oil contract on Bursa Derivatives Exchange for January delivery gained 23 ringgit (0.47%) to 4,891 Ringgit ($1,119.22). The futures prices seem to follow the support for Dalian palm oil. Once the MPOB data and export figures are released, we will determine our position. For now, it will be following the leads of rival oils," said a Kuala Lumpur based trader.

Palm oil rangebound against rival oils as market eyes key data

Malaysian palm oil futures were sideways Monday as they followed rival vegetable oils while the market awaited data from the Malaysian Palm Oil Board and export figures. During the midday break, the benchmark palm oil contract on Bursa Malaysia's Derivatives exchange gained 1 ringgit or 0.02% to 4,869 Ringgit ($1,116.74). The futures prices seem to follow the support for Dalian palm oil. Once the MPOB data and export figures are released, we will determine our position. For now, it will be following the leads of rival oils," said a Kuala Lumpur based trader.

VEGOILS - Palm closes 3% more, reaches highest level in nearly two and half years

Malaysian palm futures rose more than 3% Friday, the highest level in nearly two-and-a-half years, in response to higher soyoil, crude oil, and positive estimates for domestic exports. The benchmark contract for palm oil delivery in January on the Bursa Derivatives Exchange rose 169 ringgit or 3.6% to 4,865 Ringgit ($1,112.00), its highest closing since June 30, 2020. This week the contract posted a gain of 7.25%, which is its second weekly increase in a row and its best performance since mid-June.

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