(For physical price assessments, see MPOI1.)
Dec. 19 (Bloomberg) -- Palm oil rallied the most in almost two weeks on speculation that exports from Malaysia, the world’s second-largest producer, may increase after the local currency slid to the lowest level in three months.
The contract for delivery in March advanced 0.8 percent to 2,572 ringgit ($786) a metric ton on the Bursa Malaysia Derivatives, the biggest gain at close for the most-active futures since Dec. 6, in Kuala Lumpur. The commodity gained 5.5 percent this year, heading for the first annual increase in three years.
Malaysia’s ringgit fell for a seventh day after the U.S. Federal Reserve pared stimulus that has spurred flows into emerging markets, boosting the appeal of commodities priced in the currency. Shipments from Malaysia fell 14 percent to 640,240 tons in the first 15 days of December from a month earlier, surveyor Intertek said.
“The weakening of the ringgit has helped the market,” said Sandeep Bajoria, chief executive officer of Sunvin Group in Mumbai. “After the fall in the last few days, some demand is coming in. At these levels, Indian buyers are showing some interest.”
Soybean oil for March delivery was little changed at 39.39 cents a pound on the Chicago Board of Trade. Soybeans were little changed at $13.1475 a bushel.
Refined palm oil for May delivery dropped 1 percent to end at 6,028 yuan ($993) a ton on the Dalian Commodity Exchange. Soybean oil retreated 0.8 percent to close at 6,952 yuan.
--Editor: Thomas Kutty Abraham