Monday, January 16, 2017

How to trade Crude Palm Oil Futures ( FCPO ) 16012017


PALM OIL: Futures Extend Gains on Export Demand, Weaker Ringgit
By Anuradha Raghu
(Bloomberg) -- Palm oil for April delivery, most-traded contract by volume, rises as much as 0.7% to 3,105 ringgit/ton on Bursa Malaysia Derivatives.
  • Trades +0.4% at 3,095 ringgit by 3:51pm in Kuala Lumpur
  • March contract +0.3% to 3,130 ringgit
    • +1.5% last week
  • Weaker ringgit, concerns over tight supply and stronger demand are supporting prices, says Tasvinderjit Singh, associate director at CIMB Futures in Kuala Lumpur. There may be some selling pressure due to profit-taking, he says
  • NOTE: Malaysian ringgit -0.1% Monday
  • Demand expected to improve ahead of Chinese holidays later this month: Singh
  • NOTE: Malaysia’s Jan. 1-15 palm oil exports +6.7% m/m to 513,762 tons: Intertek
  • Soybean oil’s premium over palm oil at ~$84/ton vs avg ~$92 over past year: data compiled by Bloomberg
  • Palm oil’s premium over gasoil at ~$214/ton vs avg ~$229 over past year: data compiled by Bloomberg
  • May refined palm oil on Dalian Commodity Exchange closes +0.8% at 6,320 yuan/ton; May soybean oil +0.9% to 7,000 yuan/ton
  • March soybeans on Chicago Board of Trade +0.6% to $10.46 1/4/bu Friday; soybean oil for March delivery -1.3% to 35.60c/lb
    • U.S. markets closed Monday for holiday

How to trade FTSE Bursa Malaysia KLCI Futures ( FKLI ) 16012017


KUALA LUMPUR, Jan 16 (Bernama) -- Bursa Malaysia remained lower at mid-afternoon today weighed by losses in heavyweights led by Petronas Gas and Maybank.
At 3 pm, the benchmark FTSE Bursa Malaysia KLCI (FBM KLCI) was 5.64 points lower at 1,666.86, compared with Friday's close of 1,672.5, after opening 0.48 of-a-point weaker at 1,672.02.
Losers more than doubled the number of gainers by 517 to 212, with 309 counters unchanged, 695 untraded and 18 others suspended.
Turnover stood at 1.16 billion shares worth RM754.74 million.
Among heavyweights, Maybank lost 12 sen to RM8.20, Petronas Gas fell 22 sen to RM20.58, CIMB shed nine sen to RM4.73 and Public Bank eased four sen to RM20.40.
TNB was flat at RM13.94.

Thursday, January 12, 2017

How to trade FTSE Bursa Malaysia KLCI Futures ( FKLI ) 12012017


Shares on Bursa Malaysia picked up momentum at mid-morning today with market sentiment lifted by the overnight rise in global oil prices.
At 11 am, the benchmark FTSE Bursa Malaysia KLCI (FBM KLCI) was 6.29 points better at 1,681.5, after opening 0.43 of-a-point higher at 1,675.64.
The index closed at 1,675.21 on Wednesday.
Market breadth was positive with gainers outpacing losers 428 to 202, with 323 counters unchanged, 780 counters untraded and 26 others suspended.
Turnover stood at 949.94 million shares worth RM566.14 million.
The overnight US Crude price stood at US$52.28 per barrel, three cents higher, while Brent Crude ended US$1.46 higher at US$55.10 a barrel.
For heavyweights, Maybank rose two sen to RM8.32, TNB and Sime Darby were flat at RM14 and RM8.50, while Public Bank increased four sen to RM20.10.

How to trade Crude Palm Oil Futures ( FCPO ) 12012017


Nomura is positive on sector due to recovery in palm oil price and production following end of El Nino impact, analysts June Ng and Abhishek Kumar write in report.
  • Sees further share-price upside for Asean palm oil stocks
  • Prefer upstream planters with strong growth profiles such as First Resources (top pick), Genting Plantations, Astra Agro and London Sumatra over bigger planters like IOI Corp. and Golden Agri
  • Palm oil prices to continue to take lead from soybean prices “as long as there are no major changes in weather pattern”
  • Stronger dollar helps boost earnings in domestic currency
  • Increase palm oil price estimate for FY17-FY18 to 2,800-2,850 ringgit; crude palm oil futures for March 2017 delivery +1.65%
    • Raise Astra Agro, Genting Plantations, Sime Darby to buy from neutral; Golden Agri to neutral from reduce
    • Shares; AALI rises as much as 0.7%, IOI rises as much as 0.9%, GENP gains as much as 0.6%, LSIP climbs as much as 0.3%, FR advances as much as 0.8%, SIME rises as much as 0.2%
  • NOTE: Jan. 11, Palm Oil Reserves in Malaysia Seen Falling in January: Analysts
    • Credit Suisse Bullish on Palm Oil in Short Term on Tight Supply