Trader's Comment: Palm oil futures extended its rally again to end broadly higher on good export figures and bullish external markets.

Palm oil futures extended its rally again to end broadly higher on good export figures and bullish external markets. Benchmark Aug09 initially fell to intra day low of 2594 after it gapped up RM49 higher to open at 2609. However, it failed to cover yesterday’s leftover gap as it immediately bounced back to above 2600 level and climbed steadily through out most of the sessions. The emerged of late profit-taking activities had led Benchmark Aug09 slid slightly to 2614 before it finally settled RM65 higher 2625. The end May export data released by both private cargo surveyors had managed to provide support to the prices as ITS & SGS reported an increase of 1.7% and 5.1% respectively. Furthermore, the bullish global commodities market and the spill over from strong regional equity market also enhanced the buying sentiment in the local CPO market. Dalian palm ended more than 5% higher while eCBOT soy oil and NYMEX crude oil extended their overnight gains and rallied strongly in Asian time trading.