Wednesday, October 28, 2009

Breaking News-RTRS-Most European firms not buying green palm oil-WWF

KUALA LUMPUR, Oct 28 (Reuters) - Most European palm oil buyers have shunned expensive eco-friendly palm oil, derailing efforts to preserve rainforests, environment group WWF said on Wednesday.
A scorecard by WWF showed only ten of 59 European manufacturers and retailers have sourced palm oil from Southeast Asian producers who do not fell rainforests and destroy wildlife. Among the top ten are Unilever and Cadbury .
As of October, less than a fifth of the 1 million tonnes of palm oil certified as environmentally-friendly has been bought, WWF data showed, although market uptake was on the rise in the last four months.
WWF issued the scorecard a week before the industry-driven Roundtable of Sustainable Palm Oil (RSPO) meets in the Malaysian capital to assess the development of a green standard for top palm suppliers Indonesia and Malaysia.

Trader's Highlight

DJI-NEW YORK, Oct 27 (Reuters) - The S&P 500 and the Nasdaq fell on Tuesday as investors booked profits following the stock market's recent run-up, while a weaker-than-expected reading on a measure of consumer confidence raised doubts about spending.

The Dow Jones industrial average <.DJI> gained 14.21 points, or 0.14 percent, to 9,882.17. The Standard & Poor's 500 Index <.SPX> fell 3.54 points, or 0.33 percent, to 1,063.41. The Nasdaq Composite Index <.IXIC> declined 25.76 points, or 1.20 percent, to 2,116.09.

NYMEX-NEW YORK, Oct 27 (Reuters) - U.S. crude oil futures extended the day's highs in post-settlement trading on Tuesday after industry data showed a surprise large drawdown in domestic crude inventories last week.

A Reuters poll ahead of the data forecast that domestic crude oil stocks rose 1.8 million barrels last week due to higher imports.

The API said crude stocks fell by 3.5 million barrels, gasoline stocks dipped 255,000 barrels and distillate stocks dropped by 671,000 barrels in the week to Oct. 23.

On the New York Mercantile Exchange at 5:05 p.m. EDT (2105 GMT), December crude was up 85 cents at $79.53 a barrel, with the day's high extended to $79.89. It earlier settled up up 87 cents, or 1.11 percent, at $79.55, trading from $77.81 to $79.78.

CBOT-SOYBEANS - November down 13 cents at $9.73-1/2 a bushel. Firm dollar and forecasts for improved harvest weather next week weigh on market after higher open. Traders note active sales of $10 January soy call options also pressure prices.

CBOT-SOYOIL - December down 0.15 cent at 37.48. Weakness in soybean futures drag prices lower despite firm crude oil market.

FCPO-KUALA LUMPUR, Oct 27 (Reuters) - Malaysian crude palm oil futures dropped 3 percent on Tuesday to hit more than one-week lows on weaker vegetable oil markets and fears of a stock build up.

The benchmark January contract palm oil on the Bursa Malaysia Derivatives Exchange fell as much as 66 ringgit to 2,152 ringgit ($632.9), a level unseen since Oct. 16. The contract then settled 48 ringgit lower at 2,170 ringgit.

REGIONAL EQUITIES-BANGKOK, Oct 27 (Reuters) - Most Southeast Asian stock markets fell on Tuesday amid concern over the economic outlook in the United States, with Singapore's CapitaLand and Thailand's PTT Exploration and Production among decliners.

Foreign fund flows into the region were easing, pushing Malaysia <.KLSE> down to near-two-week lows at one stage. Indonesia <.JKSE> touched four-week lows and Vietnam <.VNI> hit its lowest level in two weeks.

Malaysia's index <.KLSE> recovered earlier falls to end flat, with a 1.3 percent gain in financial firm CIMB Group . Palm plantation firm IOI Corp rose 1.1 percent and telecom company Axiata Group gained 1 percent.

Thailand <.SETI> ended up 0.4 percent but foreign investors continued to unload Thai equities, selling a net 747 million baht($22.37 million) in the session.

USD/MYR Daily Chart: Technical pulled back


Market looks had found some cushion at 3.3425 after the recent sharp fall. Thus, a technical pulled back may see and upside projection is looking at 3.4140 followed by 3.4300. To the downside, support is pegged at 3.3650-3.3500 followed by 3.3425.

FCPO Daily: Losing ground


Market is losing ground further following prices fully covered the downside gap at 2187-2175. Thus, consolidation is likely to continue in near term. Currently, we are looking for the immediate upside resistance at 2200-2205 followed by 2235-2250. While, downside support is adjusted to 2108-2085 (unfilled gap left over since 12/10/2009).