Trader's Comment: CPO futures was trading between two sides of the prices in choppy manner

CPO futures was trading between two sides of the prices in choppy manner and end sharply higher across the board. Initially, it opened RM61 higher at 2470 and climbed to 2523 following some recovery in overnight CBOT from yesterday's e-CBOT sharp losses and firmer crude oil prices overnight. However, lack of follow through buying in the afternoon session saw prices tumbled to 2410. Later, it hovers between 2420-2440 before it rebounded to settle RM93 higher at 2502. Technical support at 2400 level was defended well and prompted some short-covering interest after last two days of sell down.

FCPO is looking for a range to consolidate

The immediate daily technical outlook was not much improve despite market recovered some from its yesterday losses. Looks may continue to look for a range to consolidate in near term between 2351 to 2730/50 level.

FKLI no improvement-sideways

FKLI continue its sideways move in the range of 1045.5-1083 in near term.

KLSE in lacklustre trade

Nothing much changes on the immediate daily technical landscape as market traded in range bound mode. Market tested the year low at 1064 in intra-day basis but not closing. Thus, we continue to look for the underline support at 1064.11-1049.88. For upside, resistance remained at 1090.

FCPO remained its yoyo pattern

Market swung up and down after prices failed to sustain at 2500 mark. We look for the downside support at 2406-2351. Upside resistance is at 2600.

FKLI in range trading

Market continue its range trading between 1045.5-1083 in near term.

KLSE in rangy mode

KLSE is in rangy mode and defended at the 1064.85 (year low). Immediate upside resistance is at 1080-1083.

Breaking News-RTRS-Latin American palm oil output rising-Oilworld

HAMBURG, Aug 26 (Reuters) - Central and South American palm oil production is rising rapidly but high domestic consumption is curbing exports, Hamburg-based oilseeds analysts Oil World said on Tuesday.

Trader's Highlight

DJI-NEW YORK, Aug 26 (Reuters) - The Dow and S&P 500 rose on Tuesday as hurricane fears lifted oil prices and boosted energy shares, blunting the effect of a report that showed a growing number of problem U.S. banks.

The Dow Jones industrial average <.DJI> was up 26.62 points, or 0.23 percent, at 11,412.87. The Standard & Poor's 500 Index <.SPX> was up 4.66 points, or 0.37 percent, at 1,271.50. The Nasdaq Composite Index <.IXIC> was down 3.62 points, or 0.15 percent, at 2,361.97.

NYMEX-NEW YORK, Aug 26 (Reuters) - U.S. crude oil futures ended higher for a second day in a row on Tuesday as oil companies began preparing against Hurricane Gustav, which is forecast to enter the U.S. Gulf of Mexico as a major storm this weekend.

On the New York Mercantile Exchange, October crude settled up $1.16, or 1.01 percent, at $116.27 per barrel, trading from $112.36 to $117.89, above the 20-day moving average of $117.46.

CBOT-SOYBEANS - September down 1-3/4 cents at $13.37-1/2 per bushel, November down 2-1/2 at $13.44-1/2.Strong dollar weighs along with declines in Asian vegoil markets. Market underpinned by dry U.S. crop weather, declining crop ratings and upturn in crude oil.

SOYOIL - September down 0.60 cent at 53.92 cents per lb.Pressured by strong dollar and drop in Malaysian palm oil.But upturn in crude oil lending support.

USD-NEW YORK, Aug 26 (Reuters) - The dollar climbed to six-month highs against the euro on Tuesday, boosted by a jump in U.S. consumer confidence and expectations of euro-zone interest rate cuts as investors braced for a possible recession in the region.

FCPO-BANGKOK, Aug 26 (Reuters) - Malaysian crude palm oil futures fell 7.3 percent to a one-week low on Tuesday as fears of defaults by Chinese buyers amid rising supply encouraged players to sell contracts heavily, traders said.

The benchmark November palm oil contract fell 191 ringgit, or 7.3 percent, to finish at 2,409 ringgit ($710) per tonne, the lowest since Aug. 19.

REGIONAL EQUITIES-SINGAPORE, Aug 26 (Reuters) while fears of slowing economic growth continued to plague most other Southeast Asian markets.Singapore <.FTSTI> gave up 1 percent. Indonesia <.JKSE> slid 0.9 percent, and Malaysia <.KLSE> dropped 0.8 percent.

The Philippine index <.PSI> shed 0.6 percent but Vietnam<.VNI> defied the trend to rise a fourth straight day, by 2.5 percent.

DJI moves in sideway

DJI remained in sideways move. We continue to look for the support at 11221-11210. For upside, resistance is at 11690-11700.