Trader's Comment: Palm oil futures eased further after it surrendered its earlier gains.

Palm oil futures eased further after it surrendered its earlier gains. Benchmark Aug09 hit intra day high of 2611 after it gapped up RM33 higher to open at 2602, tracking the strong closed in overnight NYMEX crude oil and CBOT soy oil. However, due to lack of follow through buying activities, prices then began to fell lower for the rest of the day until it finally settled at the intra day low of 2520. External markets were mix as Dalian palm ended off high while eCBOT soy oil inched lower. News that India may cutback on palm oil imports in the second half of this year due to their huge edible oils reserves and a possible re-imposition of import duties on vege oils, had also provided some pressure on the local CPO prices.