How to trade Crude Palm Oil Futures ( FCPO ) 17022017

PALM OIL: Futures Decline to 3-Month Low on Demand Concerns

Palm oil for May delivery drops as much as
2% to 2,871 ringgit/ton on Bursa Malaysia Derivatives, lowest
intraday level for most-active contract since Nov. 18.
  * Futures -1.8% at 2,876 ringgit by 4:10pm in Kuala Lumpur
    * -6.4% this week, set for biggest decline since Oct. 2015
  * “Selling pressure continues as demand is not improving,”
    says Tasvinderjit Singh, associate director at CIMB Futures
    in Kuala Lumpur. Palm market also tracking losses in soybean
    oil and Dalian vegetable oil markets, he says
    * Higher crude palm oil export taxes in March may curb
      demand, which may push up stockpiles in Malaysia: Singh
    * There’s also anticipation of higher production by mid or
      end of March
  * NOTE: Malaysia March Crude Palm Oil Export Tax Raised to 8%
  * NOTE: Malaysia’s Feb. 1-15 palm oil exports +1.4% m/m to
    520,962 tons: Intertek; shipments -3.6% m/m to 501,748 tons,
    according to SGS
  * Soybean oil for May delivery on Chicago Board of Trade -0.7%
    to 33.57c/lb, -1.2% Thursday; May soybeans -0.7% to $10.47
    1/2 a bushel
  * May refined palm oil on Dalian Commodity Exchange closes
    -2.1% to 5,918 yuan/ton; May soybean oil -1.6% to 6,690
    yuan/ton
  * Soybean oil’s premium over palm oil at ~$95/ton vs avg ~$91
    over past year: data compiled by Bloomberg
  * Palm oil’s premium over gasoil at ~$153/ton vs avg ~$220
    over past year