(For physical price assessments, see MPOI1.)
Dec. 3 (Bloomberg) -- Palm oil fell for a third day to the lowest in almost two weeks on speculation that stockpiles in Malaysia, the world’s second-biggest producer, may rise after surveyor estimates showed that exports declined last month.
The contract for February delivery declined 1 percent to 2,617 ringgit ($814) a metric ton on the Bursa Malaysia Derivatives, the lowest price at close for the most-active contract since Nov. 20. Futures advanced 7.3 percent in 2013, set for the first annual gain in three years.
Exports from Malaysia dropped 4.8 percent to 1.45 million tons last month from 1.52 million tons in October, surveyor Intertek said Nov. 30. Shipments retreated 4.9 percent, SGS (Malaysia) Sdn. said yesterday. That would be the first monthly decline since May, data from the Malaysian Palm Oil Board show. Demand usually slows during the Northern Hemisphere winter because the tropical oil clouds in cooler temperatures.
“Stockpiles may be higher due to the low export demand and expectations of higher production compared to last year,” said Tan Chee Tat, an analyst at Phillip Futures Pte in Singapore. “The high production cycle, although concentrated more in the June to September period,” may be delayed to November in older trees, he said.
Output from Malaysia climbed to a 13-month high of 1.97 million tons in October, while inventories rose to 1.85 million tons, the most since April, data from the palm oil board show.
Refined palm oil for May delivery fell 1.2 percent to close at 6,226 yuan ($1,022) a ton on the Dalian Commodity Exchange. Soybean oil lost 0.7 percent to end at 7,264 yuan.
Soybean oil for January delivery declined 0.3 percent to 40.47 cents a pound on the Chicago Board of Trade. Soybeans climbed 0.3 percent to $13.2525 a bushel.
--Editors: Alexander Kwiatkowski, James Poole