Friday, August 28, 2009

Trader's Comment:Market traded in sideways range again and ended slightly higher ahead of long weekend covering

Market traded in sideways range again and ended slightly higher ahead of long weekend covering. Benchmark Nov09 had been hovering between 2375-2352 through out the day until it settled RM24 higher at 2370. Players were generally cautious and did not make aggressive moves ahead of long weekend. Positive external markets did provide some support to the BMD as Asian time NYMEX crude oil edged higher today, while both eCBOT soy oil and Dalian palm also follow suit. Daily volume increased slightly to a total of 13,584 contracts that changed hands.

Market close on 31st Aug, 2009 (Monday), resume on 1th Sep, 2009.

Bursa Malaysia Derivatives Berhad (BMDB)will be closed on 31 Aug, 2009 (Monday) in conjunction with National Day. BMD will resume trading on 1 Sep, 2009 (Tuesday).


MERDEKA! MERDEKA! MERDEKA!

Breaking News-RTRS-UPDATE 2-Malaysia Sime profit beats forecast; hikes capex

KUALA LUMPUR, Aug 27 (Reuters) - Malaysian conglomerate Sime Darby , reported on Thursday better-than-expected quarterly profits and said it would more than triple capital expenditure for fiscal 2010 to boost plantation operations.

Breaking News-RTRS-UPDATE 1-Pakistani palm oil imports seen slow in Oct-Dec

ISLAMABAD, Aug 27 (Reuters) - Pakistan made heavy purchases of palm oil for August and September but buying will slow in the October-December quarter partly because of stocks and the arrival of the cottonseed crop, an industry official said on Thursday.
Pakistan, after a long pause, has also placed orders for about 95,000 tonnes of oilseeds for October shipment that will also cut demand for palm oil imports, said Rasheed Janmohammad, vice-chairman of the Pakistan Edible Oil Refiners Association.

Breaking News-RTRS-EU imports more Argentine biodiesel - Biopetrol

HAMBURG, Aug 27 (Reuters) - Growing imports of cheap Argentine biodiesel into Europe are replacing U.S. imports hit by European Union anti-dumping duties in March, Swiss-German biodiesel producer Biopetrol said on Thursday.
"Increasing amounts of indirectly-subsidized biodiesel have been coming to Europe from Argentina since the second quarter," Biopetrol said in a statement in a statement on its first half 2009 results.

Breaking News-RTRS-US July soy crush 129.37 mln bu-Census Bureau

-U.S. JULY SOYBEAN CRUSH 129.37 MLN BUSHELS -- CENSUS BUREAU
-U.S. JULY TOTAL FACTORY/WAREHOUSE SOYOIL STOCKS 3.338 BILLION LBS-- CENSUS
-U.S. JULY SOYMEAL/HULLMEAL STOCKS 349,543 SHORT TONS -- CENSUS BUREAU

Trader's Highlight

DJI-NEW YORK, Aug 27 (Reuters) - U.S. stocks closed higher on Thursday as investors turned back an early sell-off, thanks to a rebound in oil prices.

The Dow Jones industrial average <.DJI> gained 37.11 points, or 0.39 percent, to end at 9,580.63. The Standard & Poor's 500 Index <.SPX> added 2.86 points, or 0.28 percent, to 1,030.98. The Nasdaq Composite Index <.IXIC> rose 3.30 points, or 0.16 percent, to 2,027.73.

NYMEX-NEW YORK, Aug 27 (Reuters) - U.S. crude oil futures recovered from sharp session losses and ended more than $1 higher on Thursday, shored up by a rebound on Wall Street and weakness in the dollar.

On the New York Mercantile Exchange, October crude settled up $1.06, or 1.48 percent, at $72.49 a barrel, trading from $69.83 to $72.76.

CBOT-SOYBEANS - September up 23-3/4 cents to $11.14-1/4. November down 1/2 cent at $9.96.

Tight supply of soy, ongoing buying of U.S. soy by China boost nearby prices, but deferred contracts ease on profit taking and expectations for a large crop this fall. Trade watching Argentine farmer strike.

U.S. Census said U.S. July soy crush 129.37 million bushels, above average trade estimate for 126.7 million.

CBOT-SOYOIL - September down 0.25 cent per lb at 36.21. Choppy trade.

U.S. Census said U.S. July soyoil ending stocks 3.338 billion lbs, above average trade estimate for 3.283 billion.

FCPO-JAKARTA, Aug 27 (Reuters) - Malaysian crude palm oil futures edged slightly lower on Thursday with few factors to direct the market.The benchmark November palm oil futures on the Bursa Malaysia Derivatives Exchange edged down 11 ringgit, to 2,346 after moving in a tight range of 2,335 to 2,369 ringgit. Overall volume was thin at 11,155 lots of 25 tonnes each.

REGIONAL EQUITIES-BANGKOK, Aug 27 (Reuters) - Singapore shares hit a two-week
high on Thursday, led by offshore oil services firm Swiber and Chinese shipbuilder Cosco Corp, while other Southeast Asian bourses ended mixed.

Singapore's benchmark index <.FTSTI> rose 0.5 percent to its highest since Aug. 14, underpinned by gains in mid-capitalized companies such as Swiber Holdings , which surged 7.5 percent, and Cosco Corp , which climbed 4.9 percent.

Malaysia's index <.KLSE> was up 0.4 percent, with Malaysia Mining Corp up 5.7 percent and telecom firm Axiata gaining 0.7 percent after strong quarterly results.

Indonesia's index <.JKSE> dropped 1 percent, weighed down by a 7.3 percent fall in nickel producer International Nickel Indonesia and a 4 percent drop in coal producer Bumi Resources .

FCPO Daily: No clear signal


Market direction remains hazy and moving in tight rangy mode. We maintain the upside resistance at 2402-2424( unfilled gap since 17/8/2009)and the downside support is at 23202300 followed by 2280-2234.

CBOT Soyoil Daily: Weakening


immediate technical outlook weaken a little following prices continue to lose ground after tested the immediate support at 36.25. Thus, market may sideways to bias downside potential in near term. As for now, upside resistance is looking at 37.00-37.50. Downside support is pegged at 35.90-35.70.

NYMEX Crude Daily: Sideways


Prices continue to move in sideways manner. We maintain the immediate resistance and support at 75.00 and 68.85-68.00 respectively.

SSE Daily: Building up a concrete base


Market continue to build up a concrete base. Immediate upside resistance is maintain at 3004 followed by 3020-3039 (gap left over on 17/8/2009). While, immediate downside support is now looking at 2880-2860 followed by 2820-2798.

FKLI Daily: Consolidation likely to extend


Consolidation phase is still taking place. Thus, we maintain the immediate resistance is adjusted to 1177.5 followed by 1189.5. To the downside, support is remains at 1167-1163 (unfilled gap left over since 24/8/2009) followed by 1150.

Trader's Comment: Palm oil futures extended its sideway movement and ended slightly lower.

Palm oil futures extended its sideway movement and ended slightly lower. Benchmark Nov09 initially hit intra day high of 2369 after opened almost unchanged at 2360, but then immediately eased off and began to hover in the negative territory for the rest of the day. It settled RM11 lower at 2346, after moving in a tight range between 2355-2335 through out most of the sessions. Trading activity remained rather quiet, which may be partly due to school holiday through out this week. Daily volume declined again with a total of 11,155 contracts that changed hands.

Thursday, August 27, 2009

Breaking News-(BN)- Most Asian Stocks Fall on Concern Over China Production Curbs

By Darren Boey
Aug. 27 (Bloomberg) -- Most Asian stocks declined, led by commodity companies, on speculation possible production curbs in China will reduce the country’s demand for raw materials. The MSCI Asia Pacific Index lost 0.3 percent to 113.23 as of 9:21 a.m. in Tokyo.

Breaking News-RTRS-Malaysia's IOI Q4 net falls; hit by writedown

KUALA LUMPUR, Aug 26 (Reuters) - IOI Corp , Malaysia's second-largest palm oil producer, reported an 18 percent fall in quarterly net profit, hit by lower palm oil prices and an impairment charge on a property project.
IOI Corp said it wrote down the value of a Singapore property development by 242.8 million ringgit ($68.86 million) in the fourth quarter. Average crude palm oil price realised in the quarter fell 27 percent from a year ago to 2,455 ringgit a tonne.
The company, which plans to raise up to 1.22 billion ringgit via a rights offering this year, said the outlook for fiscal 2010 was tied to the global economic recovery.

Breaking News-RTRS-FACTBOX-China auctions of state soybean, corn reserves

BEIJING, Aug 26 (Reuters) - China sold 9,600 tonnes of
soybeans from its state soybean reserves on Wednesday, less than
2 percent of the planned release, with unattractive prices
continuing to keep buyers away.
The soybean sale on Aug. 26 was priced at 3,750 yuan per
tonne, the same as the minimum asking price.
China has sold a total of 20,300 tonnes of soybeans from its
state reserves since the auctions were launched.

Breaking News-RTRS-Sudden death syndrome on rise in U.S. soybeans

CHICAGO, Aug 26 (Reuters) - The fungus that causes sudden death syndrome (SDS) in soybeans has been spotted in Illinois, Indiana, Iowa and Kentucky, and plant pathologists said cool and wet conditions are leading to increased cases of SDS.
Effects of SDS can range from complete crop devastation in extreme cases to only marginally effecting yield in minor instances.
SDS typically hits soybean plants during the crucial pod-filling stage. The fungus causes leaves to form yellow and brown spots, turning off photosynthesis, before the leaves fall off the stem and the plant quickly dies.

Breaking News-RTRS-UPDATE 3-Argentine govt criticizes farmers' strike call

BUENOS AIRES, Aug 26 (Reuters) - Argentina's cabinet chief criticized farm leaders on Wednesday for calling a new strike that raised concerns over exports and said the government will not back down on the partial veto of a drought-aid law.
Farmers plan to launch a one-week strike on Friday, freezing grain and cattle sales in one of the world's biggest suppliers of corn, beef and soybeans. Local livestock prices rose on Wednesday as meatpackers feared shortages.
A soy industry group in Argentina said the strike might affect some soybean shipments, though producers of soy oil and meal probably have enough stocks to ride out a week-long strike and U.S. soy futures reversed early gains.

Breaking News-RTRS-Indonesia July palm oil exports up 4 pct on China buying

JAKARTA, Aug 26 (Reuters) - Indonesia shipped out 1.09 million tonnes of palm oil products in July, a rise of 4 percent from a year ago, driven by exports to China and the United States, estimates from an industry group showed on Wednesday.
The world's biggest palm oil producer exports palm oil products mainly to India, Europe and China. More than half of Indonesia's palm oil exports are in the forms of crude palm oil, whereas rival Malaysia sells mostly higher-value, refined products.
Data compiled by the Indonesian Palm Oil Association (GAPKI) showed that exports fell in July from June, when 1.18 million tonnes were shipped out, mainly because of lower exports to Bangladesh, India and China.

Breaking News-RTRS--Malaysia Q2 GDP shrinks less than f'cast

KUALA LUMPUR, Aug 26 (Reuters) - Malaysia's economy contracted by 3.9 percent in the second quarter from a year ago, less than expected, and pace of decline slowed from a 6.2 percent drop in the first quarter, signalling the start of a slow recovery for this export-dependent country.
Central bank Governor Zeti Akhtar Aziz told a press conference that the budget, due in October, would see a revision to government forecasts that the economy would shrink 4-5 percent for the full year and that the drop would be less than that.

Trader's Highlight

DJI-NEW YORK, Aug 26 (Reuters) - Investors stayed cautious on Wednesday after a rally, leaving stocks little changed despite solid reports on new home sales and durable goods orders.

For the third consecutive day, equities bounced after favorable news, but the gains fizzled. The Dow Jones industrial average <.DJI> rose 4.23 points,
or 0.04 percent, at 9,543.52. The Standard & Poor's 500 Index <.SPX> added just 0.12 of a point, or 0.01 percent, to 1,028.12. The Nasdaq Composite Index <.IXIC> ended up just 0.20 points, or 0.01 percent, at 2,024.43.

NYMEX-NEW YORK, Aug 26 (Reuters) - U.S. crude oil futures ended down but well above session lows on Wednesday after government data showed crude oil inventories rose far less last week than what an industry report showed on Tuesday.

"The (EIA) numbers were not as negative as the API numbers were. So the market bounced," said Tom Bentz, analyst at BNP Paribas Commodity Futures Inc, in New York.

On the New York Mercantile Exchange, October crude settled 62 cents lower, or 0.86 percent, at $71.43 a barrel, trading from $70.67 to $72.64.

CBOT-SOYBEANS - September down 1/2 cent per bushel at $10.90-1/2. November down 2-1/2 at $9.96-1/2.

Good crop weather in the United States, firm dollar and lower crude oil weigh despite news farmers in Argentina to go on strike.

CBOT-SOYOIL - September down 0.08 cent per lb at 36.46. Following soy with firm dollar and lower crude oil also weighing.

FCPO-JAKARTA, Aug 26 (Reuters) - Malaysian crude palm oil futures closed little changed on Wednesday, giving up more than 1 percent in late trade on profit-taking, amid caution about production prospects for this month, traders said.

The benchmark November palm oil futures on the Bursa Malaysia Derivatives Exchange edged up 2 ringgit, or 0.1 percent to 2,357 ($669.03) per tonne, after going as high as 2,385 ringgit. Overall volume was 15,048 lots of 25 tonnes each.

REGIONAL EQUITIES-BANGKOK, Aug 26 (Reuters) - Major Southeast Asian stock
markets posted small gains in cautious trade on Wednesday, with sectors such as financials and airlines advancing as investors bought stocks likely to benefit from economic recovery.

Singapore's index <.FTSTI> rose 0.4 percent, led by a 1.4 percent gain in Oversea-Chinese Banking Corp and a 3.3 percent rise in Singapore Airlines .

Other markets moved in a confined range, with Malaysia's index <.KLSE> inching up 0.13 percent, Indonesia's index <.JKSE> flat and Thailand's index <.SETI> adding 0.4 percent, building on a four-day rise of almost 4 percent.

FCPO Daily: Directionless


Market is directionless. We maintain the upside resistance at 2402-2424( unfilled gap since 17/8/2009)and the downside support is at 2320-2275.

CBOT soyoil Daily: in Rangy mode


Market is still moving in sideways manner searching for direction. Thus, market may continue move in rangy mode inn near term between the upside resistance at 37.30-37.50 to the downside support at 36.25-35.80.

NYMEX Crude Daily: Technically overbought


Bulls may take a longer break as technically overbought. Thus, market may retreat and enter into consolidation phase in near term. Currently, we are looking for the immediate resistance at 75.00. While, downside support is now looking at 68.85-68.00.

SSE Daily: Holding ground


Market was holding ground and trying to build up a support base after the sharp fall. Immediate upside resistance is maintain at 3004 followed by 3020-3039 (gap left over on 17/8/2009). Downside support is pegged at 2820 followed by 2798-2760.

FKLI Daily: Still the same


Nothing much changes on the immediate technical landscape as prices remains in consolidation phase. Immediate resistance is adjusted to 1177.5 followed by 1189.5. To the downside, support is maintain at 1167-1163 (unfilled gap left over since 24/8/2009) followed by 1150.

Trader's Comment: Palm oil futures ended marginally positive after a mix trading sessions

Palm oil futures ended marginally positive after a mix trading sessions. Benchmark Nov09 continued to be in ranging mode as it hovered between 2337-2385 level through out the day until it ended RM2 higher at 2357. Market talks that SPPORMA 1-25 days Aug palm oil production down around 9.04% had provided some cushion to BMD. However, trading activity was rather quiet today, as players were still cautiously waiting for further new leads. Daily volume fell lower again with a total of 15,048 contracts changed hands.

Wednesday, August 26, 2009

Breaking News-RTRS-UPDATE 2-Argentine farmers call new anti-gov't strike

BUENOS AIRES, Aug 25 (Reuters) - Argentine farmers will launch a seven-day strike starting on Friday that will freeze grain and beef sales from one of the world's biggest suppliers of corn, beef and soybeans, farm leaders said on Tuesday.
The strike, aimed at protesting the government's farm policy, revives a long-running dispute that has rattled local financial markets and tested President Cristina Fernandez over the past two years.

Trader's Highlight

DJI-NEW YORK, Aug 25 (Reuters) - World stocks rose to 10-month highs on Tuesday after Ben Bernanke was nominated for a second term as Federal Reserve chief and as upbeat U.S. economic data bolstered optimism, but crude oil sold off on profit taking.

The U.S. dollar slipped against the euro and yen as the data and Bernanke's nomination led investors to seek out higher-yielding currencies and assets.

The Dow Jones industrial average <.DJI> closed up 30.01 points, or 0.32 percent, to 9,539.29. The Standard & Poor's 500 Index <.SPX> rose 2.43 points, or 0.24 percent, to 1,028.00. The Nasdaq Composite Index <.IXIC> climbed 6.25 points, or 0.31 percent, to 2,024.23.

NYMEX-NEW YORK, Aug 25 (Reuters) - U.S. crude oil futures gave up some more ground in post-settlement trading on Tuesday after industry data from the American Petroleum Institute showed an unexpectedly large increase in crude inventories last week.

The API said that for the week to Aug. 21, domestic crude stocks shot up 4.3 million barrels to 346.7 million barrels as imports rose sharply, defying a forecast in a Reuters poll of analysts for a 1.1 million barrel drawdown.

On the New York Mercantile Exchange at 4:55 p.m. EDT (1655), October crude was down $3.03, or 4.07 percent, at $71.34 a barrel. It earlier settled down $2.32, or 3.12 percent, at $72.05, trading from $71.11 to $75, which was the highest since prices hit $75.69 on Oct. 21, 2008.

CBOT-SOYBEANS - September up 11 cents at $10.91 a bushel; November down 8-1/2 at $9.99.

Spot September hits 1-1/2 week top on tight stocks and persistent Chinese buying of U.S. soybeans. Technically strong, soaring past key moving averages with prices filling in big gap in continuos spot of 75 cents created when August expired on Aug. 14.

CBOT-SOYOIL
- September down 0.57 cent per lb at 36.54. Falling crude oil weighs in addition to profit-taking after the strong gains on Monday.

FCPO-JAKARTA, Aug 25 (Reuters) - Malaysian crude palm oil futures edged lower on Tuesday, extending their retreat from a one-week high hit early on Monday, in reaction to weaker stock markets, traders said.

Benchmark November palm oil futures on the Bursa Malaysia Derivatives Exchange dropped 20 ringgit, or 0.8 percent, to 2,355 ($671.98) per tonne. Overall volume was 18,429 lots of 25 tonnes each.

REGIONAL EQUITIES-BANGKOK, Aug 25 (Reuters) - Singapore shares eked out small gains on Tuesday, pushed higher by gains in big-caps such as DBS Group and SingTel, and Thai stocks rose, with tourism-related shares leading the way.

Singapore's index <.FTSTI> added 0.25 percent, with DBS Group , Southeast Asia's biggest lender, rising 1.1 percent and Singapore Telecommunications almost 1 percent higher.

Indonesia's index <.JKSE> was up 0.2 percent and Vietnam's <.VNI> edged 0.12 percent higher. Malaysia's index <.KLSE> lost 0.3 percent. Its central bank left interest rates on hold as

Trader's Comment: Palm oil futures ended lower after a range bound trading sessions.

Palm oil futures ended lower after a range bound trading sessions. Benchmark Nov09 had been ranging in the negative territory as it hovered between 2373-2323 level through out the whole day. The results of export data for Aug 1-25 released by both private cargo surveyors had indeed fallen significantly lower but the decline was better than market expectation. ITS & SGS reported a decrease of 10.5% and 7.5% respectively, instead of the 12% which was talked yesterday. Benchmark Nov09 finally settled RM20 lower at 2355. External markets were rather weak as both Asian time NYMEX crude oil and eCBOT soy oil edged lower today, while Dalian palm also ended inching lower.

FCPO Daily: Losing ground


Market is losing ground following prices fully covered the downside gap at 2364-2346 to end lower. Market looks may continue its consolidation mode in near term. To the upside, resistance is maintain at 2402-2424( unfilled gap since 17/8/2009). While, downside support is adjusted to 2300-2275 followed by 2230-2225.

CBOT Soyoil Daily: Sideways


Market continue its sideways move with resistance and support is looking at 37.50-37.80 and 36.25-35.70 levels respectively.

NYMEX Crude Daily: Bulls took a breathe


Market gave up all its early gains to end sharply lower after breaking down its immediate support at 73.38-72.80. However, immediate technical landscape remains in positive outlook despite a long black candle printed. As for now, we are looking for the immediate resistance at 75.00 followed by 75.69-76.12. While, downside support is now looking at 68.85-68.00.

SSE Daily: Entering into correction zone


Market reversed from its winning streak to end lower after facing resistance at 3000 levels. Thus, market may move in sideways searching a comfort zone for landing. Currently, immediate upside resistance is stood at 3004 followed by 3020-3039 (gap left over on 17/8/2009). Downside support is now pegged at 2798-2760.

FKLI Daily: Consolidation phase likely to continue


Market is likely to consolidate after covered partial of the downside gap. Thus, immediate resistance is maintain at 1189.5. To the downside, support is adjusted to 1167-1163 (unfilled gap left over since 24/8/2009) followed by 1150.

Tuesday, August 25, 2009

Breaking News-RTRS-UPDATE 2-China drought serious, but risk manageable-vice min

BEIJING, Aug 24 (Reuters) - A serious drought in China's main soy producing region won't mean crop failure if there is rainfall over the next month and frost is delayed, Vice-Minister for Agriculture Niu Dun said on Monday.
"We've already taken active measures to rectify the situation, including emergency irrigation," he told Reuters on the sidelines of a conference in Beijing.

Breaking News-RTRS-UPDATE 2-Pro Farmer sees big US corn/soy crops, frost eyed

CHICAGO, Aug 21 (Reuters) - Farm newsletter Pro Farmer on Friday projected bumper U.S. 2009 corn and soybean crops, but said both crops were behind in development and will need favorable late-season weather to realize their full potential.
Pro Farmer pegged U.S. corn production at 12.807 billion bushels and soybean production at 3.150 billion bushels. The average corn yield was estimated at 160.1 bushels per acre while the soybean yield was seen at 41.0 bpa.

Trader's Highlight

DJI-NEW YORK, Aug 24 (Reuters) - U.S. stocks ended the day barely changed on Monday as investors took a break from a four-day rally that lifted major indexes to 10-month highs.

Wall Street initially charged higher, but a sharp gain in U.S. Treasury debt prices, which drove benchmark yields lower, triggered a sell-off in stocks.

U.S. Treasury debt prices rose on Monday, with the 30-year bond gaining almost 2 full points, as investors did some bargain hunting after Friday's sharp losses and the Federal Reserve bought government debt.

The Dow Jones industrial average <.DJI> rose 3.32 points, or 0.03 percent, to end at 9,509.28. But the Standard & Poor's 500 Index <.SPX> inched down just 0.56 of a point, or 0.05 percent, to 1,025.57 and the Nasdaq Composite Index <.IXIC> shed 2.92 points, or 0.14 percent, to 2,017.98.

NYMEX-NEW YORK, Aug 24 (Reuters) - U.S. crude oil futures ended higher on Monday on economic recovery hopes, but pared gains near the close as Wall Street trimmed its intraday highs.

On the New York Mercantile Exchange, October crude settled up 48 cents, or 0.65 percent, at $74.37, the highest settlement since Oct. 15, 2008's $74.54. October crude traded from $73.57 to $74.81, the highest front-month intraday price since Oct. 21, 2008's $75.69.

CBOT-SOYBEANS - September up 57 cents at $10.80 a bushel; November up 34-1/2 at $10.07-1/2.

Chinese demand for U.S. soy, a drought in China that was leading to concern about the soy crop there and an immature U.S. soy crop that could be harmed by an early frost combine to lift soybean futures.

Talk of China buying three to four cargoes of U.S. soybeans during the weekend supportive.

CBOT-SOYOIL - September up 0.78 cent at 37.11 cents per lb. Spillover support from strong gains in soy combined with firm crude oil lift soyoil futures.

FCPO-JAKARTA, Aug 24 (Reuters) - Malaysian crude palm oil futures rose 1.3 percent on Monday, but came off a one-week high hit earlier in the day following market talk of a drop in palm oil exports for the August 1-25 period, traders said.

Benchmark November palm oil futures on the Bursa Malaysia Derivatives Exchange settled up 30 ringgit to 2,375 ($677.0) per tonne, after rising as high as 2,402 ringgit, a level not seen since Aug. 14. Overall volume was 17,937 lots of 25 tonnes each.

REGIONAL Equities
-BANGKOK, Aug 24 (Reuters) - Most Southeast Asian stock indexes hovered around a one-week high on Monday, buoyed by optimism about economic recovery, with property and financials such as CapitaLand and DBS leading the way in Singapore.

Singapore's benchmark Straits Times Index <.FTSTI> climbed 2.7 percent to close at its highest since Aug. 14, with CapitaLand , Southeast Asia's largest developer, rising 3 percent and top lender DBS Group adding 2.1 percent.

Malaysia's index <.KLSE> added 0.9 percent to its highest since Aug. 17, Indonesia's index <.JKSE> gained 1.8 percent to its highest since Aug. 18 and Thailand's index <.SETI> added 1.4 percent to its highest since September last year. The Philippine index <.PSI> jumped 5.1 percent and Vietnam's <.VNI> rose for a fourth day, ending 1.7 percent higher.

Trader's Comment: Palm oil futures ended off high on poorer export rumors.

Palm oil futures ended off high on poorer export rumors. Benchmark Nov09 initially surged to intra day high of 2402 in the morning session after opened RM33 higher at 2378 tracking the early rally in NYMEX crude oil & eCBOT soy oil after extending their respective overnight gains. However, palm oil prices encountered some resistance in the second session as the emerged of market talk that Aug1-25 export data which is due to release tomorrow may drop to 980k tonnes (ITS reported last month corresponding period at 1.11 million tonnes), prompted some liquidation activities. Benchmark Nov09 eased off to intra day low of 2364 before it settled RM30 higher at 2375. Daily volume reduced to a total of 17,937 contracts that changed hands.

FCPO Daily : Capped in range trading


Market looks may continue in range trading as gaps every where. To the upside, resistance is looking at 2402-2424( unfilled gap since 17/8/2009). Downside support is at 2364-2346 (gap left over on 24/8/2009).

CBOT Soyoil Daily: building up momentum


Market seem to slowly building up its momentum after found its support base at around 35 levels. Thus, market may in sideways bias to upside potential in near term. To the upside, resistance is at 37.70-38. While, downside support is pegged at 36.25.

NYMEX Crude Daily: holding its upside posture


Market stayed firm with its upside posture after violated the key resistance at 73.38. Thus, we maintain our view to bias upside potential in near term. As for now, we are looking for the immediate resistance at 75.69-76.12. While, downside support is stood at 73.38-72.80.

SSE Daily: May cover upside gap


Market inched up slowly and may try to cover the upside gap left over at 3020-3039. Support is now pegged at 2880-2860.

FKLI Daily: still in correction mode


Market gap up violated the resistance at 1179.5 levels had helped to neutralise the immediate daily technical landscape. However, market remains capped in correction phase with immediate resistance is now looking at 1189.5 (high on 10/8/2009. To the downside, support is pegged at 1169-1163 (gap left over on 24/8/2009).

Monday, August 24, 2009

Breaking News-RTRS-China's imports of new U.S. soy crop stay brisk -survey

BEIJING, Aug 21 (Reuters) - The new, cheap U.S. soy crop has attracted buyers in China, the world's largest importer, and Chinese crushers are likely to continue brisk imports in coming weeks, according to an official survey issued on Friday.
The U.S. soy price for January shipment at about 3,550 yuan ($519.7) was 6 percent lower than Beijing's bidding price for its soy reserves, and the China National Grain and Oils Information Center (CNGOIC) said that favorable price differential would continue to spur imports in the weeks ahead.

Trader's Highlight

DJI-NEW YORK, Aug 21 (Reuters) - U.S. stocks ended the week at 2009 highs on Friday after a surprising rise in home sales and optimistic comments from Federal Reserve chief Ben Bernanke reassured investors about the prospects for an economic recovery.

The S&P 500 and the Nasdaq hit 10-month intraday highs, while the Dow industrials rose to their highest level in nine months. The S&P 500 is now up 51.7 percent from its 12-year closing low set on March 9.

At the Fed's annual conference in Jackson Hole, Wyoming, Bernanke gave his clearest signal yet that the global economy is emerging from a recession. But the Fed chairman warned that growth would be sluggish for a time.

The Dow Jones industrial average <.DJI> jumped 155.91 points, or 1.67 percent, to end at 9,505.96. The Standard & Poor's 500 Index <.SPX> climbed 18.76 points, or 1.86 percent, to 1,026.13. The Nasdaq Composite Index <.IXIC> rose 31.68 points, or 1.59 percent, to 2,020.90.

NYMEX-NEW YORK, Aug 21 (Reuters) - U.S. crude oil futures ended at a 10-month high Friday on economic optimism, as Wall Street gained sharply and the dollar weakened.

On the New York Mercantile Exchange, new front-month October crude settled up 98 cents, or 1.34 percent, at $73.89 a barrel, the highest settlement since Oct. 20, 2008, when the top contract ended at $74.25.

NYMEX October crude traded from $72.03 to $74.72, the highest intraday price for the year and marking the highest since front-month prices hit $75.69 on Oct. 21, 2008.

CBOT-SOYBEANS - September up 23-3/4 cents at $10.23 a bushel; November up 16 at $9.73. Lifted by persistent Chinese buying of U.S. soy, cool U.S. weather slowing crop maturity raising concern of potential damage from an early frost, weaker dollar.

CBOT-SOYOIL - September up 0.53 cent at 36.33 cents a lb. Spillover support from strong gains in soy combined with firm crude oil and weak dollar.

FCPO-KUALA LUMPUR, Aug 21 (Reuters) - Malaysian crude palm oil rose 1.9 percent on Friday, recovering from a near three-week low earlier in the session on talk of lower production in a key growing region.

Benchmark November palm oil futures on the Bursa Malaysia Derivatives Exchange fell as much as 67 ringgit to 2,234 ringgit ($634.7) per tonne, a level unseen since Aug. 3, but recovered slightly to settle up 44 ringgit at 2,324 ringgit.

REGIONAL EQUITIES-BANGKOK, Aug 21 (Reuters) - Most Southeast Asian stock markets erased earlier falls to end positive on Friday as investors bought back energy and financial stocks, while Singapore defied the trend by ending near a four-week low.

Trading was volatile as investors nervously watched markets in China, where the Shanghai index <.SSEC> ended up 1.7 percent after a 20 percent tumble in the two weeks to Wednesday on concerns over the pace of economic recovery.

Malaysian stocks <.KLSE> closed flat, edging up 0.03 percent, Indonesia stocks <.JKSE> climbed 0.23 percent, and Vietnam <.VNI> rose for a third straight day, ending up 1.03 percent to 519.17 to its highest since Sept. 9, 2008.

However, Singapore's benchmark stock index <.FTSTI> ended down 0.57 percent to a near four-week low, with plam oil planter Golden Agri-Resources dipping 1.03 percent, hit by falling palm oil futures.

FCPO Weekly: in mix view


Market recouped all its early losses to end higher had chart in a long lower shadow candle had helped to provide some cushion to the recent sell down. However, immediate technical landscape remains in mix view. Thus, market may move in sideways in near term. To the upside, resistance is adjusted to 2521. While, downside support is pegged at 2230-2225.

NYMEX Crude Weekly: More room to bias upside potential


A significant breakout from 73.38 (high on 5/7/2009) had provided more room to bias upside potential. Upside target was looking at 78.35-78.77. To the downside, support is pegged at 65.23-64.95.

CBOT Soyoil Weekly: Defended well at USD 35


The immediate weekly technical landscape shows a little improvement following market manage to defend well at above USD 35. Thus, a more concrete support base is needed to build up in order to sustain the upward momentum. As for now, we are looking for the downside support at 38.99. To the downside, support is pegged at 35.60-35.30

SSE Weekly: Bears took a breathe


Market ended with a long lower shadow candle had show some early sign of bears were taking a break after the recent sell down. However, more confirmation is needed as the immediate technical landscape remains weak. Downside support is now looking at 2720-2700 followed by 2668-2635. To the upside, resistance is stood at 3020-3039 (gap left over on since 16/8/2009).

DJI Weekly: New highs for the year


A new highs for the year had brighten up the weekly technical landscape. Market looks may continue its upward move with target at 9600-9800 levels. to the downside, support is pegged at 9000 levels.

FKLI Weekly: Forming round top


Market continue to struggle looking to survive at above 1150 levels had weaken further the weekly technical landscape with a round top formation. Thus, correction phase is likely to continue in near term. To the upside, resistance is maintain at 1189.5 while downside support is pegged at 1150 followed by 1126..

Trader's Comment: Palm oil futures made a dramatic “U turn” as it clawed back its earlier losses to end higher.

Palm oil futures made a dramatic “U turn” as it clawed back its earlier losses to end higher. Benchmark Nov09 initially opened RM19 higher at 2320 but was immediately slammed down through out the morning session, tracking the weak external markets in the early Asian time trading. It hit intra day low of 2234 before the morning close at 2240. However, market sentiment then began to change as external markets started to improve. The emerge of massive short covering and speculative buying activities saw Benchmark Nov09 gapped higher during second session opening and continued to rally strongly in the remaining session until it hit intra day high of 2346 before settled RM44 higher at 2345. Both Asian time NYMEX crude oil and eCBOT soy oil had recovered later and traded with more than 1% gain in late trading.

Friday, August 21, 2009

Breaking News-DJN-India may import edible oils to add to its buffer stock

NEW DELHI (Dow Jones)--India will import foodgrains, pulses and edible oil to add to its buffer stock as a prolonged dry spell threatens to shrink supplies, Finance Minister Pranab Mukherjee said Friday.
"It has been decided, whichever commodity will be in short supply, to maintain the demand and supply equilibrium, we shall go for imports," Mukherjee said, adding the current stockpile is adequate to deal with the difficult situation arising from a drought.
India's 246 districts have declared drought so far, Mukherjee added

Breaking News-RTRS-Indonesia to keep Sept palm oil export tax at zero

JAKARTA, Aug 20 (Reuters) - Indonesia will keep its palm oil export tax at zero in September, but raise the crude palm oil (CPO) base export price to $615 a tonne from $574 in August due to a price rise, a trade ministry official said on Thursday.
Indonesia uses the average spot CPO price in Rotterdam, Europe's vegetable oils market, during the preceding month as a reference price to decide palm oil tax rates for the following month.

Trader's Highlight

DJI-NEW YORK, Aug 20 (Reuters) - U.S. stocks rose for a third straight session on Thursday with financial stocks leading gains after U.S. manufacturing data and a rebound in Chinese stocks reassured investors.

The positive manufacturing data from the Federal Reserve Bank of Philadelphia offset the market's disappointment that weekly jobless claims increased for a second week.

The Dow Jones industrial average <.DJI> gained 70.89 points, or 0.76 percent, to end at 9,350.05. The Standard & Poor's 500 Index <.SPX> rose 10.91 points, or 1.09 percent, to finish at 1,007.37. The Nasdaq Composite Index <.IXIC> climbed 19.98 points, or 1.01 percent, to close at 1,989.22.

On Friday, investors will listen to remarks from Federal Reserve Chairman Ben Bernanke, scheduled to speak to a gathering in Jackson Hole, Wyoming, on the lessons learned from the financial crisis and efforts to aid the economic recovery.

NYMEX
-NEW YORK, Aug 20 (Reuters) - U.S. crude oil futures ended slightly higher amid choppy late trading on Thursday, with gains limited as traders closed out positions on the front-month, now-expired September crude contract.

On the New York Mercantile Exchange, September crude expired and settled down 12 cents, or 0.17 percent, at $72.54 a barrel, trading from $71.65 to $72.88. The day's high is the highest since the June 30 peak of $73.38, which was the highest intraday front-month crude oil price since crude hit $75.69 on Oct. 21.

Nymex October crude settled down 92 cents, or 1.25 percent, at $72.91 a barrel, trading from $72.53 to $74.07.

CBOT-SOYBEANS - CBOT September up 2-1/4 cents per bushel at $9.99-1/4. November down 1 at $9.57.

Continued Chinese buying of U.S. soy lending support but good U.S. crop weather and outlooks for a record 2009 U.S. soy crop limiting advances.

CBOT-SOYOIL - CBOT September down 0.31 cent per lb at 35.80. Big supply of soyoil continues to act as an anchor on soyoil futures.

FCPO
-KUALA LUMPUR, Aug 20 (Reuters) - Malaysian crude palm oil futures ended largely unchanged on Thursday as investors felt the previous day's sell-off due to slumping Chinese equity markets was overdone, although fears of a slowdown in exports persisted.

Benchmark November palm oil futures on the Bursa Malaysia Derivatives Exchange rose as much as 51 ringgit to 2,353 ringgit ($667.1) per tonne.

But the most-active contract could not sustain its rebound from a 2-week low of 2,284 ringgit hit in previous session and settled 2 ringgit up at 2,301 ringgit.

REGIONAL EQUITIES-BANGKOK, Aug 20 (Reuters) - Singapore's stock market climbed
more than 1 percent on Thursday, while Malaysia and Indonesia snapped a three-day losing streak as surging crude oil boosted commodity shares like Golden Agri, Kuala Lumpur Kepong and Adro Energy.

Market sentiment in the region was lifted by Chinese shares, which clawed higher after a two-week sell-off, and crude oil, which was steady above $72 a barrel.

Singapore's Straits Times Index <.FTSTI> rose 1.5 percent, with crude palm oil planter Golden Agri-Resources rising 4.3 percent in response to higher Malaysian palm oil futures.

Malaysia <.KLSE> was up 0.7 percent, with plantation firm KL Kepong 2.2 percent higher and IOI Corp up 1.6 percent. Indonesia <.JKSE> jumped 2.2 percent, with Adro Energy surging 6 percent and Bumi Resources up 3.4 percent.

FKLI Daily: Great wall at 1166 levels


Market looks is forming a great wall at 1166 as prices tested three times at 1166 levels yet fail to break through. Thus, immediate technical landscape remains weak. Downside support is remains at 1148.5-1146 followed by 1130-1125. To the upside, resistance is stood at 1166 followed by 1179.5.

DJI Daily: Holding well at above 9000 level


Market is holding ground at above 9000 physiological support level. Hence, market may move in sideways in range trading between 9400-9500 and 9100-9000 levels respectively.

Shanghai Stock EXCHG (SSEC) Daily: Bears took a breathe


Bears took a breathe as market pulled back from the recent sharp drop had slowing down the downward momentum. Nevertheless, overall immediate technical outlook remains clouded in bearish atmosphere. Thus, immediate support is now adjusted to 2761 followed by 2720-2700. To the upside, resistance is stood at 3020-3039 (gap left over on 17/8/2009).

Trader's Comment: Palm oil futures ended marginally higher after a late liquidation.

Palm oil futures ended marginally higher after a late liquidation. Benchmark Nov 09 initially opened RM31 higher at 2330, tracking the strong rally in overnight NYMEX crude oil. However, it then hovered between 2353-2305 level through out most of the sessions as the presence of selling pressure at higher level due to the bearish export figure reported by both private cargo surveyors. ITS & SGS stated a decline of 10.7% and 7% respectively for the period of Aug1-20. The emerged of late intra day liquidation activities saw Benchmark Nov09 eased off further and slide to settle at the intra day low of 2301. External markets were rather mix as Dalian palm edged 1% higher today while both Asian time NYMEX crude oil and eCBOT soy oil had inched lower.

CBOT Soyoil Daily: in tiredness mode


Market was hovering sideways to bias downside potential as overall technical outlook show tiredness mode. Therefore, immediate downside support is pegged at 35.72-35.69 followed by 35.55-35.30. While, upside resistance maintain at 36.61 followed by 37.07-37.22.

NYMEX Crude Daily: Waiting for a breakout


Market continue to hold ground after tested the 1st key resistance at 72.84. Thus, we are waiting to see a potential breakout from the 2nd key resistance at 73.38 which may provide more room to bias upside potential. To the downside, support is pegged at 68.05-66.11.

FCPO Daily: Sideways to lower


Market is likely to move sideways to lower as chart wise remains weak. currently, we continue to look for the upside resistance at 2397-2424 (gap left over n 17/8/2009). Downside support is maintains at 2275-2250 followed by 2225-2200.

Thursday, August 20, 2009

Breaking News-RTRS-MidEast's Ramadan palm oil needs almost covered -trade

KUALA LUMPUR, Aug 19 (Reuters) - Middle Eastern countries have bought 70 percent of an extra 70,000 tonnes of palm oil cargoes needed for the Muslim holy month of fasting that begins in the third week of August, Southeast Asian traders said on Wednesday.
Countries in the region usually buy an additional 150,000 tonnes for the Ramadan fasting observance, where fasting in the day is followed by elaborate feasts at night, but have cut down on orders because of ample port stocks and a recent run-up in prices.

Breaking News-RTRS-China's COFCO plans soy plant in Guangxi -report

BEIJING, Aug 19 (Reuters) - Chinese oilseeds giant COFCO plans to build a soybean crushing plant in south China, adding 20 percent to its capacity in a bid for more of the already crowded edible oils market, the China Daily reported on Wednesday.

Trader's Highlight

DJI-NEW YORK, Aug 19 (Reuters) - U.S. stocks rose on Wednesday, shaking off a slide in China's equity market, as investors responded favorably to a surprising drop in crude oil stockpiles that might suggest an improving demand outlook.

The Dow Jones industrial average <.DJI> gained 61.22 points, or 0.66 percent, to end at 9,279.16. The Standard & Poor's 500 Index <.SPX> rose 6.79 points, or 0.69 percent, to 996.46. The Nasdaq Composite Index <.IXIC> advanced 13.32 points, or 0.68 percent, to 1,969.24.

NYMEX-NEW YORK, Aug 19 (Reuters) - U.S. crude oil futures ended nearly 5 percent higher on Wednesday, rallying on government inventory data that showed an unexpectedly large drawdown in crude stocks last week.

"The (EIA) data is being viewed as bullish as all stock categories fell more than expected," said Jim Ritterbusch, president of Ritterbusch & Associates in Galena, Illinois.

On the New York Mercantile Exchange, September crude settled up $3.23, or 4.67 percent, at $72.42 a barrel, trading from $68.05 to $72.80. The NYMEX September crude contract expires on Thursday.

CBOT-SOYBEANS - CBOT September up 1-1/2 cents at $9.97. Higher crude oil and weak dollar support market but gains limited in spot September and other months weighed down by good crop weather in the U.S.

Mild temperatures and showers buoying soy pod-setting development stage in the U.S. Midwest and in the Delta.

CBOT-SOYOIL
- CBOT September up 0.17 cent per lb at 36.11. Support from gains in crude oil.

FCPO
-KUALA LUMPUR, Aug 19 (Reuters) - Malaysian crude palm oil futures dropped 3.8 percent to a near 2-week low after sharp falls in China's stock markets and on fears exports may fall below expectations, traders said.

Taking a cue from a second steep drop in the Shanghai bourse, benchmark November palm oil futures on the Bursa Malaysia Derivatives Exchange dropped as much as 91 ringgit to 2,284 ringgit ($646.1), a level unseen since Aug. 6. The market then settled at 2,299 ringgit per tonne.

REGIONAL EQUITIES-BANGKOK, Aug 19 (Reuters) - Singapore shares fell to their
lowest in almost four weeks on Wednesday, led by losses in financials and property firms such as UOB and CapitaLand, and other major Southeast Asian bourses also slid on worries about the economic recovery.

Malaysia and Indonesia fell close to three-week lows while Thailand tumbled more than 1 percent. Malaysia <.KLSE> lost 0.8 percent and Indonesia <.JKSE>
dropped 2.5 percent. Earlier they fell to the lowest since July
30.

Losers in the region included palm plantation shares, which fell along with weaker Malaysian crude palm oil futures, with IOI Corp down 1.6 percent and Sime Darby 0.5 percent lower.

Singapore's Wilmar International lost 3.0 percent, Indonesia's Astra Agro fell 5.2 percent and Thailand's Univanich Palm ended 1.3 percent lower.

Trader's Comment: Palm oil futures surrendered yesterday’s gains and tumbled sharply lower on bearish export expectation.

Palm oil futures surrendered yesterday’s gains and tumbled sharply lower on bearish export expectation. Benchmark Nov09 initially opened RM15 higher at 2390, following the strong closed in overnight NYMEX crude oil. However, as regional equity markets continued to slide further, this led palm oil prices to follow suit and fall further through out most of the sessions. The emerged of market talk that Aug1-20 export figure may be around 815k tonnes (ITS reported 913k tonnes in last month same period) had created more fears in CPO market. Benchmark Nov09 broke below 2300 level in late trading and hit intra day low of 2284 before it ended RM76 lower at 2299. Daily volume increased more than doubled the usual level with total 33,290 contracts changed hands.

FKLI Daily: Losing strength to defend


Bull looks losing strength to defend as market tested the physiological support at 1150 in intra-day basis not closing. However, immediate technical landscape remains weak and any significant breakdown again from 1150 may provide more room to bias downside potential. As for now, resistance is adjusted to 1166-1179.5. Downside support is pegged at 1148.5-1146 followed by 1130-1125.

SSE Daily: Extremely bearish


Market has been falling down sharply since 4th Aug, 2009. Overall technical landscape is in bearish mode without any sign of recovery. As for now, immediate support is pegged at 2720-2700 followed by 2668-2635 (gap left over since 1/6/2009). To the upside, resistance is stood at 3020-3039 (gap left over on 17/8/2009).

CBOT Soyoil Daily: Remains in negative mode


Nothing much improvement as market is still searching for support to cushion the downward momentum. We maintain the downside support at 35.55-35.30. While, upside resistance maintain at 37.07-37.22.

NYMEX Crude Daily: Eyeing key resistance at 72.84-73.38


Market rebounded strongly for consecutive two trading days. Violation of the key resistance at 72.84-73.38 may provide more room to bias upside potential. To the downside, support is pegged at 65.23-64.96.

FCPO Daily: Facing resistance at 2397


Market drop sharply violated the 2300 physiological support level after facing tough resistance at 2397.Market looks bearish and may move lower in near term. As for now, we are looking for the upside resistance at 2397-2424 (gap left over n 17/8/2009). Downside support is pegged at 2275-2250 followed by 2225-2200.

Wednesday, August 19, 2009

Breaking News-RTRS-UPDATE 1-China to consider soy crusher subsidy-traders

BEIJING, Aug 18 (Reuters) - China's State Council, or cabinet, is considering a proposal to give subsidies of 200 yuan ($29.26) per tonne to help plants in the northeast crush domestic crops, traders said on Tuesday.
The move would help the sale of huge stockpiles of state soy reserves but was unlikely to hurt imports as soy plants in the inland province of Heilongjiang crushed only domestic crops, traders said.

Breaking News-RTRS-Soybean prices to stay firm medium term -Oil World

HAMBURG, Aug 18 (Reuters) - Global soybean prices are likely to stay firm medium-term despite a looming large U.S. crop as Chinese and other import demand is high and key South American supplies tight, oilseeds analysts Oil World said on Tuesday.

Trader's Highlight

DJI-NEW YORK, Aug 18 (Reuters) - U.S. stocks rose on Tuesday, rebounding after sharp losses in the previous session, as better-than-expected results from big retailers encouraged investors to get back into the market.

The earnings reports offset an unexpected drop in housing starts and permits in July, sending all three major indexes up more than 1 percent in earlier trading.

The Dow Jones industrial average <.DJI> was up 82.60 points, or 0.90 percent, at 9,217.94. The Standard & Poor's 500 Index <.SPX> was up 9.94 points, or 1.01 percent, at 989.67. The Nasdaq Composite Index <.IXIC> was up 25.08 points, or 1.30 percent, at 1,955.92.

NYMEX-NEW YORK, Aug 18 (Reuters) - U.S. crude oil futures shot up more than 5 percent to above $70 a barrel in post-settlement trading on Tuesday, after industry data showed a surprisingly large drawdown in crude inventories last week, contrary to forecasts that supplies rose.

Data from the American Petroleum Institute for the week to Aug. 14 showed that crude stocks fell 6.1 million barrels to 342.4 million barrels, distillate stocks rose 1.5 million barrels to 161 million barrels and gasoline stocks fell 847,000
barrels to 212.6 million barrels.

On the New York Mercantile Exchange at 5 p.m. EDT (1700 GMT) September crude was up $3.43, or 5.14 percent, at $70.18 a barrel, after extending the day's high to $70.28. It earlier settled up $2.44, or 3.66 percent, at $69.19, after trading $66.11 to $69.58. The NYMEX September contract expires on Thursday.

CBOT-SOYBEANS - CBOT September up 7-1/2 cents per bushel at $9.95-1/2. News China bought U.S. soy, firm crude oil and short-covering after the price tumble on Monday supporting market.

Gains limited by excellent weather in the U.S. soy regions as the crop goes through its final pod-setting stage of development.

CBOT-SOYOIL - CBOT September up 0.07 cent per lb at 35.94. Following soy and gains in crude oil.

FCPO-KUALA LUMPUR, Aug 18 (Reuters) - Malaysian crude palm oil futures gained 1.7 percent on Tuesday after investors were heartened by prospects of higher festival demand and stabilising commodity markets following the previous day's sell-off.

Benchmark November palm oil futures on the Bursa Malaysia Derivatives Exchange settled up 40 ringgit to 2,375 ringgit ($671.8) per tonne, bouncing off 10-day lows hit on Monday.

REGIONAL EQUITIES-BANGKOK, Aug 18 (Reuters) - Shares in Singapore gained almost
1 percent on Tuesday as late buying in big caps pushed shares such as CapitaLand and SingTel higher, while Thailand reversed early falls amid upbeat outlooks of resources and telecom shares.

Stocks in Malaysia, Vietnam, the Philippines and Indonesia ended mostly lower, with Jakarta's benchmark index losing more than two percent.

Singapore's benchmark Straits Times Index <.FTSTI> recouped early losses, helped by CapitaLand , which rose 2 percent, and Singapore Telecommunications , which climbed 1.6 percent.

Malaysia <.KLSE> eased 0.4 percent, coming off its early fall to the lowest since July 30, Indonesia's index <.JKSE> lost 2.1 percent, and the Philippine index <.PSI> fell 1.4 percent to its lowest in three weeks.

Trader's Comment: Palm oil futures recovered partially from yesterday heavily sold down market amid stabilizing external markets.

Palm oil futures recovered partially from yesterday heavily sold down market amid stabilizing external markets. Benchmark Nov09 gap up RM25 higher to open at 2360 and hovering in a tight range between 2355-2390 through out the day until it settled RM40 higher at 2375. The rebound of external markets had provide some steady support to BMD as both Asian time NYMEX crude oil and eCBOT soy oil had recovered from overnight losses and rose broadly higher today. Short-covering activities were also evident as players started to cover their positions after yesterday’s oversold market while waiting for fresh leads. Daily volume was moderate with a total of 14,888 contracts changed hands.

FKLI Daily: Surviving


Bulls spirit still not come to the end as market is trying hard to survive at above 1150 support level. Thus, market may move in sideways with limited upside. As for now, resistance is adjusted to 1179.5.

CBOT Soyoil Daily: Remains weak


Immediate technical landscape remains weak. Thus, we maintain our view sideways to bias downside potential in near term. Currently, downside support is pegged at 35.69-35.30. While, upside resistance is at 37.07-37.20.

NYMEX Crude Daily: May move in sideways manner


A strong bounce recouped from its early day losses had neutralised the immediate technical landscape following prices found some cushion at USD 65. Hence, market may move in sideways before it manage to identify a clear direction in near term. To the upside, resistance is maintain at 71.60-72.84.

FCPO Daily: Looking for direction


Market recovered after a sharp fall down to sustain at above 2300 mark. However, immediate daily technical outlook remains in tiredness mode. Thus, market may move in range trading in between the upside of 2397-2424 (gap left over on 17/8/2009) and downside support at 2325.

Tuesday, August 18, 2009

Trader's Highlight

DJI-NEW YORK, Aug 17 (Reuters) - Oil slid and global stocks fell sharply on Monday after weak Japanese data and last week's poor U.S. consumer confidence data sparked doubts about a U.S. recovery and prompted investors to cut their exposure to risk.

Asian, European and U.S. stock markets fell to lows last seen in July as equities tumbled 2.0 percent or more around the world, and Wall Street suffered its worst loss in 7 weeks.

The Dow, S&P 500 and Nasdaq stock gauges posted their biggest single-day percentage declines since at least July 2.

The Dow Jones industrial average <.DJI> dropped 186.06 points, or 2 percent, to end at 9,135.34. The Standard & Poor's 500 Index <.SPX> was down 24.36 points, or 2.43 percent, at 979.73. The Nasdaq Composite Index <.IXIC> was down 54.68 points, or 2.75 percent, at 1,930.84.

NYMEX-NEW YORK, Aug 17 (Reuters) - U.S. crude oil futures ended at their lowest level in more than two weeks on Monday as Wall Street tumbled amid worries about global economic recovery.

On the New York Mercantile Exchange, September crude settled down 76 cents, or 1.13 percent, at $66.75, the lowest settlement since July 29's $63.35. It traded from $65.23 to $67.69. The intraday low was lowest since prices fell to $64.96 on July 31.

CBOT-SOYBEANS - September down 36-1/2 cents at $9.88 a bushel; new-crop November down 27 at $9.54-1/2.

Excellent crop weather in the U.S. soy regions, firm dollar, falling equities and crude oil combine to weigh on soy futures. Market technically weak, with November slipping below key support of $9.80 during overnight session after Friday's big sell-off.

CBOT-SOYOIL - September down 1.31 cents per lb at 35.87 cents per lb. Pressured by falling soybeans, crude oil and Asian vegoils.

FCPO-KUALA LUMPUR, Aug 17 (Reuters) - Asian vegetable oil markets slumped on Monday on expectations of better global supplies this fall with U.S. soy set for a record large harvest and a sharp decline in crude oil prices.

Benchmark November palm oil futures on the Bursa Malaysia Derivatives Exchange fell as much as 4.5 percent to a 10-day low, despite market talk of tight inventories, thanks to faltering production and stronger Asian festival demand.

REGIONAL EQUITIES-BANGKOK, Aug 17 (Reuters) - Shares in Singapore and Thailand
tumbled more than 3 percent on Monday, leading other Southeast Asian bourses lower, with index heavyweights such as DBS Group, Singapore Telecoms, PTT and PTT Exploration among big losers.

Singapore's index <.FTSTI> fell 3.3 percent to its lowest since Aug. 7, with top lender DBS down 2.5 percent, Singapore Telecommunications losing 3.1 percent and developer CapitaLand off 3.8 percent.

Malaysia <.KLSE> fell 1.6 percent to its lowest since Aug. 3, the Philippine index <.PSI> dropped 2.8 percent to its lowest since July 30 and Vietnam's <.VNI> fell 1.4 percent, ending a five-day gain.

Trader's Comment: Palm oil futures tumbled heavily and ended with triple digit losses on global market slump.

Palm oil futures tumbled heavily and ended with triple digit losses on global market slump. Benchmark Nov09 immediately gap down RM70 to open at 2371, following overnight NYMEX crude oil fell sharply by $3. Initially, it was struggling to cover some left over gap but the buying power was not strong enough as it only managed to hit intra day high of 2397 before morning close at 2391. As the global market continued to weaken further, this led palm oil prices to follow suit. Dalian palm ended with 300 pt losses while eCBOT soy oil dropped more than 100 bid lower. Asian time NYMEX crude oil also extended its overnight losses to fall below $66. Benchmark Nov09 continued to dive lower in the second session and hit intra day low of 2325 before ended RM106 lower at 2335.

FKLI Daily: Losing upward momentum


Market shows the end of its sideways move following prices break down with double digit losses. Market has losing its upward momentum and may enter into correction phase to move sideways to bias downside potential. We may see more room to downside if support at 1158-1150 violated. Next support will be looking at 1130-1125. To the upside, resistance is remains at 1189.5.

CBOT Soyoil Daily: Sideways to bias downside potential


Market ended sharply lower for three consecutive trading days had weakened further the overall technical landscape. Thus, market may sideways to bias downside potential in near term. currently, we are looking for the downside support at 35.30. While, upside resistance is at 37.40-37.70.

NYMEX Crude Daily: Defended at USD 65


Market defended after found some support around USD 65 with printed a long lower shadow candle. Nevertheless, immediate technical outlook remains weak. As for now, we are looking for the immediate support at USD65-64.96 followed by 62.76. To the upside, resistance is at 71.60-72.50.

FCPO Daily: Searching for support


Market steep down after the recent strong rebound with triple digit losses. Downside gap at 2354-2345 (left over since 10/8/2009) was fully covered. Market looks still searching for support for a good landing. Thus, correction mode likely to continue and look for the immediate support at 2305-2275 followed by 2250. While, upside resistance is pegged at 2397-2424 (gap left over on 17/8/2009)

Monday, August 17, 2009

Trader's Highlight

DJI-NEW YORK, Aug 14 (Reuters) - U.S. stocks fell broadly on Friday, as the major indexes snapped a four-week streak of gains after weak consumer sentiment data fueled concerns about the strength of an economic recovery.

The weak report underscores the worry that consumer demand remains soft, denting the hopes for a rebound that has fueled the rally in stocks. Stocks have come under pressure this week on weaker-than-expected reports on consumer activity.

The Dow Jones industrial average <.DJI> dipped 76.79 points, or 0.82 percent, to 9,321.40. The Standard & Poor's 500 Index <.SPX> lost 8.64 points, or 0.85 percent, to 1,004.09. The technology-laced Nasdaq Composite Index <.IXIC> dropped 23.83 points, or 1.19 percent, to 1,985.52.

NYMEX
-NEW YORK, Aug 14 (Reuters) - U.S. crude oil futures ended down more than 4 percent on Friday as weak consumer confidence data sparked concerns over oil demand and worries about the strength of the economic recovery.

On the New York Mercantile Exchange, September crude settled down $3.01, or 4.27 percent, at $67.51 a barrel, trading from $67.25 to $71.60. In post-settlement trading, the day's low extended to $67.12. For the week, the contract fell $3.42, or 4.82 percent.

CBOT-SOYBEANS - August expired down 87-1/4 cents per bushel at $11.00 per bushel. New-crop November down 37-1/4 cents at $9.81-1/2.

Led lower by plunging spot August amid deliveries of 227 lots on that contract. Disappointing NOPA crush figure adding to the bearish sentiment along with good U.S. crop weather and falling crude oil.

National Oilseed Processors Association reported July soy crush 120.920 million bushels, far below average analysts' estimate for 130.4 million.

CBOT-SOYOIL - August expired down 0.36 cent per lb at 37.18. September down 0.46 at 37.18.

NOPA reported U.S. July soyoil stocks 2.804 billion lbs, versus June 2,907 billion.

FCPO-JAKARTA, Aug 14 (Reuters) - Malaysian palm oil futures dropped 2.9 percent on Friday as investors pocketed gains after a recent rally, but talk of strong exports limited the fall, traders said.

The benchmark October contract on Bursa Malaysia's Derivatives Exchange dropped 74 ringgit to 2,441 ringgit ($694.45) a tonne. The contract traded in a range of 2,424 to 2,510 ringgit in the day. Overall volume was 22,927 lots of 25 tonnes each.

REGIONAL EQUITIES-BANGKOK, Aug 14 (Reuters) - Shares in Singapore and Malaysia
rose on Friday, with SingTel climbing after a price target upgrade, while palm plantation stocks such as IOI Corp and Sime Darby helped push Malaysia's index to a 14-month high.

Singapore's index <.FTSTI> added 0.7 percent to 2,631.51, with Singapore Telecommunications , Southeast Asia's biggest telecoms firm, up 1.6 percent at S$3.23.

IOI Corp rose 1.9 percent, Sime Darby gained 1.2 percent and KL Kepong was up 2.8 percent.

Malaysia's index <.KLSE> ended up 0.2 percent at 1,188.57 after earlier rising to 1,196.46, its highest level since June
26, 2008.

Thailand <.SETI> closed 0.2 percent lower, Indonesia's index <.JKSE> eased 0.4 percent and the Philippine index <.PSI> slid 0.2 percent but Vietnam's <.VNI> rose 0.7 percent, extending its gain into a fifth day.

FKLI Weekly: Toppish


Market continue to hold ground in toppish manner. Thus, a healthy correction may take place in any time. To the upside, resistance is looking at 1189.5 followed by 1200. To the downside, support is pegged at 1150.

CBOT Weekly Soyoil: in Mix view


Market ended with a long upper shadow had slowing down the upward move. Overall weekly technical landscape was in mix view. Thus, market may move sideways in near term. Therefore, we continue to look for the upside resistance at 39.00 to 40.00. Downside support is pegged at 35.30 followed by 33.20.

NYMEX Crude Weekly: Limited upside gains


Overall weekly technical landscape has been weakening following market failed to break through the tough resistance at 73.38 and chart in potential of triple top formation. Hence, market may move sideways to bias downside potential in near term with downside support is pegged at 62.70.

FCPO Weekly: Mantain in positive tone


Market tested 2500 mark but shy away. However, the overall immediate weekly landscape is improving and bull is trying to build up a concrete base for a stronger and long lasting the upward momentum. We maintain our positive view towards the near term market. To the upside, resistance is adjusted to 2650-2675 followed by 2799. Downside support is pegged at 2350 followed by 2250-2225.

Friday, August 14, 2009

Trader's Comment: Palm oil futures ended sharply lower after a volatile trading day.

Palm oil futures ended sharply lower after a volatile trading day. Benchmark Oct09 began to fall lower through out the morning session after opened RM33 lower at 2482, following the sharp losses in overnight CBOT soy oil. It hit intra day low of 2424 before morning closed at 2431. The emerged of some aggressive buyers led palm oil futures to gap up higher during second session opening and continue to surge strongly until it hit intra day high at 2510. Nevertheless, it encountered strong resistance at above 2500 level as prices then started to fall again until it finally settled RM74 lower at 2441. External markets were mix as eCBOT soy oil inched higher after recovering from its earlier losses while Dalian palm ended with more than 2% losses.