Trader's Comment: CPO futures surrendered some of its earlier gains to end slightly higher.

CPO futures surrendered some of its earlier gains to end slightly higher. Benchmark Feb09 open almost unchanged at 1462, and rose to morning high of 1493, tracking NYMEX crude oil that traded above $50 level in Asian time zone, and also firmer soy oil prices in e-CBOT, extending their respective overnight gains. It slipped to intra day low at 1452 but were well supported and managed to climb back until it hit the intra day high of 1503 in the early afternoon session. However, CPO prices began to ease off when Asian time NYMEX crude oil fell back to below $50 level. Talks that India may impose import tax on palm oil by this month also further undermined CPO prices. Profit taking activities then emerged as traders took advantage of higher prices. Benchmark Feb09 retreated to 1468, before it settled RM28 higher at 1488.

Breaking News-RTRS-WRAPUP 1-Citigroup gets $306 bln rescue from US government

NEW YORK, Nov 24 (Reuters) - The U.S. government agreed to a $306 billion rescue plan for Citigroup Inc , agreeing to shoulder some losses from toxic debt in the latest attempt to bolster a financial services industry in turmoil.

Breaking News-RTRS-RESEARCH ALERT-Goldman Sachs slashes CPO price forecasts

KUALA LUMPUR, Nov 24 (Reuters) - Goldman Sachs lowered its crude palm oil (CPO) price assumptions for 2009 and 2010 by 41 percent and 50 percent while cutting target prices for plantation firms under its coverage by up to 52 percent.
Palm prices at current levels are close to a bottom but the timing of a re-rating for the sector remains uncertain, the investment bank said in a research note on Monday.
"Overall, we see attractive opportunities for long-term investors, but in the near-term, CPO prices and plantation stocks could decline further before rising again," it said.
Goldman Sachs has rated Singapore-listed Wilmar as the industry's top pick while putting Sime Darby , Malaysia's top palm oil producer, on its conviction sell list, saying the Malaysian planter is more vulnerable to falling CPO prices.

Updated CPO Tender Summary and Delivery Location for the year 2008

Breaking News-Argentine soy sowing lags due to drought - gov't

BUENOS AIRES, Nov 21 (Reuters) - Dry soils forced Argentine farmers to halt soy sowing this week in many parts of the farming belt, the Agriculture Secretariat said in a weekly crop progress report on Friday.
The secretariat estimates a record soy area of 18.1 million hectares (44.7 million acres). By Thursday, it said 42 percent had already been sown, 8 percentage points more than the prior week but still lagging last season's pace by 3 points.

Breaking News-RTRS-China soyoil strong; more imports arrive for reserves-survey

BEIJING, Nov 21 (Reuters) - China's soyoil market should stay strong next week amid robust demand, although a large amount of imports have arrived this month, according to a survey by an official think-tank.
"Most soyoil imports in November would go for state reserves, which would not have any impact on the market," said the official China National Grain and Oils Information Centre (CNGOIC) in a report. It did not elaborate.

Trader's Highlight

DJI-NEW YORK, Nov 21 (Reuters) - U.S. stocks stormed higher in a late rally on Friday to cap another volatile week as investors welcomed reports that President-elect Barack Obama has chosen his point person to combat the U.S. economic crisis, instilling confidence about the administration's ability to
take action.

Markets shot higher around 3 p.m. when NBC news reported that Timothy Geithner, president of the Federal Reserve Bank of New York, would be nominated as U.S. Treasury secretary, driving the Dow and the S&P up more than 6 percent.

The Dow Jones industrial average <.DJI> jumped 494.13 points, or 6.54 percent, to 8,046.42. The Standard & Poor's 500 Index <.SPX> shot up 47.59 points, or 6.32 percent, at 800.03. The Nasdaq Composite Index <.IXIC> climbed 68.23 points, or
5.18 percent, to 1,384.35.

NYMEX-NEW YORK, Nov 21 (Reuters) - U.S. crude futures ended higher on Friday, rebounding from 3-1/2 year lows hit on Thursday, as they tracked rising U.S. equities and refined product futures surged after heavy losses the day before.

On the New York Mercantile Exchange, new front-month January crude settled up 51 cents, or 1.03 percent, at $49.93 a barrel. It traded from $48.25 -- lowest since prices fell to $48.05 on May 23, 2005 -- to $51.12.

CBOT-SOYBEANS - January down 16 cents at $8.40. Soybeans fall with tumbling corn. Demand concerns amid struggling global economy overhanging the market as earlier rebounds in crude oil and stock markets stumble.

Dry soils force Argentine farmers to halt soy sowing this week in many parts of the farming belt, the Agriculture Secretariat said.

CBOT-SOYOIL - December up 0.07 cent at 30.70 cents per lb. Bounces from earlier lows as crude oil rebounds. Lower soybeans weigh.

China soyoil seen strong next week amid robust demand; more imports arrive for reserves

FCPO-KUALA LUMPUR, Nov 21 (Reuters) - Asian vegetable oil markets clawed back some losses on Friday as oil prices rose towards $50 a barrel but fears that a deepening global recession was eating into food and fuel demand kept investors cautious.

Malaysian crude palm oil futures <0#KPO:> ended slightly lower after falling sharply while soyoil contracts <0#DBY:> on Dalian Commodity Exchange settled down 2.1 percent.

The benchmark February palm contract on Bursa Malaysia's Derivatives Exchange ended down 8 ringgit at 1,460 ringgit ($403) after going as low as 1,386 ringgit.

REGIONAL EQUITIES-BANGKOK, Nov 21 (Reuters) - Southeast Asian stock markets ended mixed on Friday, with Singapore climbing nearly three percent on buying of financials such as UOB and DBS Group in reaction to a government stimulus package.

Singapore's benchmark Straits Times Index <.FTSTI> closed up 2.98 percent, snapping four days of falls.Other Asian markets rebounded from a five-year low on Friday
as a variety of rumours, such as China cutting interest rates, prompted investors to cover short positions before the weekend.

Malaysian shares <.KLSE> ended a three-day losing streak to inch up 0.18 percent. Thai shares <.SETI> gained 0.9 percent. Indonesian shares <.JKSE> drifted 0.75 percent lower, recovering from a 4.5 percent fall earlier, after the central
bank pledged to respect the free movement of capital.

DJI Weekly: Bottomless??

DJI continue to plunge to its lowest level since 2003. Technical outlook remains bearish in near term market. We now look for the support at 7449 followed by 7416 (low since 16 March, 2003). For upside, resistance is at 9708-9794.

FKLI Weekly: No improvement

Bear remains stayed firm with its posture. As for now, we continue to look for the support at 800 mark. For upside, immediate resistance is at 924.5-927.

KLSE Weekly: Remains BEARISH

Bearish mode remains intact. We continue to look at the underline support at 800 mark. For upside, immediate resistance is at 920-926.

FCPO Weekly: cap in Range Trading

Market remains firm at above 1400 mark and looks may continue to move in sideways manner with the support pegged at 1331 and upside resistance is at 1723-1727 level .