Breaking News-RTRS-UPDATE 1-Palm oil firm Wilmar hires banks for big China IPO

HONG KONG, July 3 (Reuters) - Wilmar International , the world's largest listed palm oil company, has hired three banks to handle what sources say could be a $3 billion flotation of its China business.
The Hong Kong IPO would be among the biggest so far this year in Asia, where companies have rushed back to the equity market as its gains have gathered pace.
The Singapore-based company previously said it plans to list 20-30 percent of its China operation to tap investor interest in its biggest market and to raise cash for acquisitions.
Sources with direct knowledge of the matter said on Friday that the company has hired BOC International, Goldman Sachs and Morgan Stanley to handle the offering.
Wilmar and Goldman declined to comment. BOCI -- Bank of China's investment banking arm -- and Morgan Stanley could not immediately be reached.
The IPO is set for a Hong Kong listing late this year or early next, said one of the sources involved, who could not speak publicly about the deal.

Breaking News-RTRS-INTERVIEW-Indonesia sees no threat from India tax on palm

JAKARTA, July 3 (Reuters) - Indonesia's crude palm oil exports to its main buyer India are unlikely to be affected if India imposes an import tax, an industry official told Reuters on Friday.
"They (India) have no choice but to import the oilseeds from Indonesia," said Rosediana Suharto, executive chairman of Indonesian Palm Oil Commission (IPOC).
She noted that some Indonesian sellers actually shipped out crude palm oil (CPO) to their affiliated refiners in India.
Indonesian has projected palm oil exports to India, the world's second-biggest vegetable oil buyer, will jump 25 percent this year to around 6.0 million tonnes.

Breaking News-RTRS-INTERVIEW-UPDATE 1-India may consider import tax crude palm oil

NEW DELHI, July 3 (Reuters) - India may impose a nominal tax on crude palm oil imports and marginally raise the levy on refined oils, top industry analyst Dorab Mistry said.
India, the world's second-biggest vegetable oils buyer after China, allowed tax-free imports of crude palm oil late last year and cut the duty on refined oils to 7.5 percent.
Local industry is seeking higher import taxes, which would also increase government revenue, but analysts say worries of weak monsoon rains and lower crop would discourage higher taxes.
"The government may think of a nominal duty on crude palm oil and some marginal increase in the duty on vegetable oils," London-based Mistry, whose forecasts are closely watched by the industry, told Reuters in an interview on Friday.

Trader's Highlight

FCPO-JAKARTA, July 3 (Reuters) - Malaysian palm futures recovered from earlier losses on Friday to end flat as investors took some positions ahead of the weekend amid a lack of fresh news on supply and demand, traders said.

The benchmark September palm oil contract on the Bursa Malaysia Derivatives Exchange ended unchanged at 2,175 ringgit ($617) a tonne, after going as low as 2,085 ringgit. Overall traded volume was at 14,971 lots at 25 tonnes.

REGIONAL EQUITIES-BANGKOK, July 3 (Reuters) - Major Southeast Asian stock markets fell to their lowest level in a week on Friday after losses on Wall Street following grim U.S. unemployment data, but Indonesia managed to end higher after an interest rate cut.

Singapore's Straits Times Index <.FTSTI> dropped 0.91 percent to its lowest in more than a week, Thai shares <.SETI> closed down 0.5 percent at a one-week low and Malaysia's index <.KLSE> fell 0.56 percent. The Philippine index <.PSI> slipped 0.27
percent.

But Indonesian stocks <.JKSE> recovered from a 1.3 percent fall to end up 0.46 percent after the central bank cut its key rate by 25 basis points to a record low of 6.75 percent and said it expected economic growth to reach the upper end of its 3-4 percent forecast range this year.

DJI Weekly: Remains sideways

Nothing much changes on the immediate technical landscape as market remains in sideways. we continue to look for the immediate resistance at 8600-8800 To the downside, immediate support is pegged at 8200-8000.

KLSE Weekly: enter into correction zone.

Market looks had slowing down a little its upside move and may enter into a correction zone in near term. Currently, We are looking for the immediate upside resistance at 1083-1095. To the downside, support is pegged at 1050-1030.

FKLI Weekly: May due for correction

Market looks little tiredness after few attempts failed to challenge the recent high at 1092. Thus, market may due for correction in near term. As for now, we are looking for the immediate upside resistance at 1086.5-1092. Downside support is pegged at 1050-1030.

FCPO Weekly: in Bearish mode

Market hits the weekly low at 2085 before bouncing back to stay above 2100 mark. Nevertheless, overall technical landscape remains bearish mode and may continue to trend lower in near term. Thus, we are now looking for the immediate downside support at 2050-2000. To the upside, resistance is at 2350.