Trader's Comment: Palm oil futures ended marginally lower after ranging between 2183-2153.

Palm oil futures ended marginally lower after ranging between 2183-2153. Market was uncertain today in the midst of mix sentiment. While waiting for the official March09 supply & demand data by MPOB, there was some bullish news on the palm oil stock level after Reuters poll reported that March’s inventory level likely to slide 12.8% at 1.36 million tones. Coincidently, analysts from Oil World also forecasted that stock level to fall to between 1.30-1.40 million tonnes on weaker output. However, the weak external market somehow outweighed this supportive news. eCBOT soy oil prices edged down today and Asian time NYMEX crude oil also fell below $48. Benchmark Jun09 in the end settled RM15 lower at 2165 after hovering between 2183-2153 through out the day. It earlier opened RM7 lower at 2173 on weak closing of overnight soy oil and crude oil.

RTRS-POLL-Malaysia's March palm oil stocks seen at 20-month low

KUALA LUMPUR, April 8 - Malaysia's March palm oil stocks are likely to slide 12.8 percent to a 20-month low, slowing slightly as exports remained flat and output notched weak growth after months of decline, a Reuters poll showed on Wednesday.
March's inventory level in the world's second-largest producer is seen at 1.36 million tonnes from February, the lowest since July 2007, feeding fears of a squeeze in global vegetable oil supplies, according to a median estimate of five plantation houses.

Breaking News-RTRS-Malaysia palm oil stocks at 20-month low-Oil World

HAMBURG, April 7 (Reuters) - Malaysia's end-March palm oil stocks may fall to a 20-month low of between 1.30 million and 1.40 million tonnes from 1.56 million tonnes at the end of February, Hamburg-based oilseeds analysts Oil World forecast on Tuesday.
Official crop agency Malaysian Palm Oil Board is due to release the March palm oil exports, production and stocks data on Friday.

Trader's Highlight

DJI-NEW YORK, April 7 (Reuters) - U.S. stocks slid on Tuesday, hammered by fears that companies will show they struggled in the first quarter as the recession dragged on as the earnings season kicked off with Alcoa.

The Dow Jones industrial average <.DJI> fell 186.29 points, or 2.34 percent, to 7,789.56. The Standard & Poor's 500 Index <.SPX> lost 19.93 points, or 2.39 percent, to 815.55. The Nasdaq Composite Index <.IXIC> gave up 45.10 points, or 2.81 percent, at 1,561.61.

NYMEX-NEW YORK, April 7 (Reuters) - U.S. crude oil futures fell further in post-settlement trading on Tuesday, after the industry group American Petroleum Institute reported a rise in domestic crude stocks that was much more than expected.

The U.S. Energy Information Administration, statistical branch of the Department of Energy, will issue its own inventory report at 10:30 a.m. EDT on Wednesday.

On the New York Mercantile Exchange at 4:55 p.m. EDT (2055 GMT) May crude was down $2.53, or 4.96 percent, at $48.52 a barrel. It earlier settled lower for a third day in a row, at $49.15, down $1.90, or 3.72 percent, after trading from $48.89 to $51.82.

CBOT-SOYBEANS - May down 4-1/2 cents at $9.89-1/2 per bushel; November down 3-1/2 cents at $9.08-1/2.

Falling stock market and crude oil as the dollar firmed weighed on soy market. Underpinned by tight 2008/09 U.S. soy supply amid strong export pace, disappointing Argentine harvest yields, and talk of fresh Chinese interest in U.S. soy.

Exporters seeing fresh Chinese interest in U.S. soybeans for May, June shipment. U.S. values about 5 cents above Brazilian soy but Brazil nearby supplies tight.

Brazil 2008/09 soy crop seen at 58.1 million tonnes versus 57.6 million tonnes in February - government.

CBOT-SOYOIL - May down 0.15 cent at 34.84 cents per lb. Following lower crude oil.

FCPO-JAKARTA, April 7 (Reuters) - Malaysian crude palm oil futures rose to a fresh six months closing high on Tuesday boosted by hopes that palm oil stocks in the world's second biggest producer dropped further in March, traders said.

The benchmark June contract on the Bursa Malaysia Derivatives Exchange rose 35 ringgit, or 1.6 percent, to 2,180 ringgit ($607.24) per tonne, after going as high as 2,201 ringgit.

Other traded months rose between 15 and 45 ringgit. <0#KPO:>. Overall volume was at 14,634 lots of 25 tonnes each, against the usual 10,000 lots.

REGIONAL EQUITIES-BANGKOK, April 7 (Reuters) - Major Southeast Asian stocks fell on Tuesday as losses in financial shares and other index heavyweights ended a five-day rise in Singapore, Malaysia and Indonesia amid renewed worries over the U.S. banking sector.

Singapore's Straits Times Index <.FTSTI> dropped 2.5 percent, erasing part of a 10.4 percent gain over the past five days, with top bank DBS Group down 3.8 percent and United Overseas Bank 4.2 percent lower.

Malaysia's index <.KLSE> eased 0.4 percent after a five-day gain of 6.3 percent, with banks leading losers. Top lender Maybank slid 5.8 percent, CIMB lost 3.9 percent and Public Bank shed 1.3 percent.

DJI Daily: still failed to crack above 8000 mark

Market looks little tiring to survive around 8000 mark with a round top formation. Hence, market may consolidate in near term. We are looking for the immediate upside resistance at 8000. Downside support remained at 7500-7400

KLSE Daily: Bull may take a breathe

Upside move has been slowing down after the recent rebound. Thus, bull may take a breathe before continue its journey. We are looking at the immediate upside resistance at 926-930. Meanwhile, downside support is pegged at 912-910 (gap left over on 6/4/2009) followed by 900.

FKLI Daily: may enter into consolidation phase

Market had tried few attempts at 928 yet fail to break through. Thus, market may enter into a consolidation phase in near term. A slide below the immediate support at 912.5 may see a potential pull back to the physiological support at 900 mark. While,immediate resistance is looking at 928 followed by 942.5.

FCPO Daily: Bullish momentum likely to extend

2200 was tested in intra-day basis had strengthened further the immediate daily technical outlook. Bull likely to continue its spirit with upside resistance is now looking at 2250-2280 in near term market. To the downside, support is pegged at 2120-2100 followed by 2070-2050.