Trader's Comment: Palm oil futures ended in a negative territory after giving up all of its earlier gains.

Palm oil futures ended in a negative territory after giving up all of its earlier gains. Rising Asian time crude oil in the early trade which traded at around $1 higher, coupled with good export figures released by private cargo surveyor ITS which posted an increase by 39.3% saw Benchmark Feb09 to hit the intra day high of 1630 after opened RM44 higher at 1625. However, CPO prices unable to sustain and began to fall due to lack of follow through buying activities. Subsequent easing off of crude oil after 2nd session resumed trading had sent CPO prices to fall further below 1600 level and hit intra day low at 1570 despite the other private cargo surveyor SGS recorded almost the same result of export data. Benchmark Feb09 then hovered between 1575-1585 level before it finally settled at RM5 lower at 1576. Trades were thin as player cautious ahead of coming OPEC meeting on 17 Dec.

Breaking News-RTRS-INTERVIEW-India's palm oil imports slowing from Dec

KUALA LUMPUR, Dec 15 (Reuters) - India, the world's No. 2 vegetable oils buyer, will buy less palm oil from December due to a better winter soybean crop as well as attractive rival sunoil and soyoil prices, a leading trader said on Monday.

Breaking News-RTRS-China sees Dec soy imports up 11.5 pct vs Nov -MOFCOM

BEIJING, Dec 12 (Reuters) - Chinese buyers expected 2.93 million tonnes of soybean imports in December, the Commerce Ministry said in a report on Friday, 11.5 percent higher than its estimate for November, as low costs encouraged more imports by the world's largest buyer.
The ministry's figure for November, at 2.87 million tonnes, was much lower than the actual arrivals reported by the Customs Administration, at 3.32 million tonnes. Commerce estimates typically are lower than the Customs measure, because they fail to include all shipments.

Trader's Highlight

DJI-NEW YORK, Dec 12 (Reuters) - U.S. stocks rose on Friday on hopes that a lifeline for struggling U.S. automakers could still materialize, while investors bet the large stockpiles in cash at technology companies will help them weather the economic downturn.

In the latest in the U.S. automakers' attempt to secure a financial rescue, the White House said it could be willing to provide emergency funding to the struggling auto industry, the day after Congress failed to approve a deal.

The Dow Jones industrial average <.DJI> rose 64.59 points, or 0.75 percent, to end at 8,629.68. The Standard & Poor's 500 Index <.SPX> added 6.14 points, or 0.70 percent, to 879.73. The Nasdaq Composite Index <.IXIC> jumped 32.84 points, or 2.18 percent, to 1,540.72.

NYMEX-NEW YORK, Dec 12 (Reuters) - U.S. crude oil futures ended lower on Friday, moving down with Wall Street, amid worries over whether the government will come up with a rescue package for troubled U.S. automakers.

In volatile trading on the New York Mercantile Exchange, January crude settled down $1.70, or 3.54 percent, at $46.28 a barrel, snuffing a two-day rally. It traded from $43.32 to $47.51.

CBOT-SOYBEANS - January down 2-1/2 cents at $8.54 a bushel. Lower on outlooks for more U.S. soy acres in 2009, falling crude and precious metals.

Underpinned by dry weather concerns in South America, especially in Argentina, and China's voracious appetite for U.S. soybeans.

National Oilseed Processors Association issue monthly crush data on Monday.

CBOT-SOYOIL - December expired 0.36 cent lower at 31.10 cents per lb. January down 0.80 cent per lb at 30.92 cents. Pressured by falling crude oil.

FCPO-KUALA LUMPUR, Dec 12 (Reuters) - Malaysian palm futures tumbled 3.8 percent on Friday in a commodities sell-off after the U.S. failed to pass a deal to bail out automakers and record inventories.

The benchmark February palm oil contract on Bursa Malaysia's Derivatives Exchange settled down 63 ringgit at 1,581 ringgit ($442) after going as low as 1,567 ringgit.

Other traded contracts fell between 11 ringgit and 63 ringgit. Overall volume was 10,242 lots of 25 tonnes each.

REGIONAL EQUITIES-BANGKOK, Dec 12 (Reuters) - Southeast Asian stock markets mostly fell on Friday after the failure of talks on a bailout for U.S. car firms, with Singapore dropping for a second day as blue chip financials led decliners.

Singapore's Straits Times Index <.FTSTI> fell for a second day to end 3 percent lower.But Thai stocks <.SETI> reversed a 2.6 percent fall to end up 0.04 percent as investors bet opposition Democrat Party leader Abhisit Vejjajiva would be elected prime minister on Monday, helping restore confidence.

Indonesian stocks <.JKSE> closed down 4.08 percent. In Kuala Lumpur, Southeast Asia's best performer this year, the main index dropped 0.98 percent on Friday, with decliners led by a 2.5 percent fall in Tenaga Nasional .

FKLI Weekly: Downtrend remains intact

Downtrend remains intact.Market likely to continue its sideways to lower move in near term. Support is pegged at 831 followed by 803.5 while resistance is at 865-868 followed by 870-877.

KLSE Weekly: Holding ground

Market continues to hold ground and moves in range bound mode. We now looking the support at 835-830 followed by 800 mark. For upside, immediate resistance is at 868-869 followed by 900.

DJI Weekly: Consolidation phase to be continue..........

Nothing much changes on the immediate weekly landscape as market remains in consolidation phase. We now looking the support at 8000 mark. For upside, resistance is at 9026-9043.

FCPO Weekly: Holiding Firm

Market was holding firm and looks may continue to build up base. We continue to look for support at 1396-1331. Upside resistance is at 1692-1727.