Breaking News-RTRS-Asia Oils-High port stocks damp Chinese palm oil demand

By Niluksi Koswanage
KUALA LUMPUR, Oct 29 (Reuters) - China, the world's second largest vegetable oil buyer, has slowed palm oil purchases by 20 to 25 percent this month amid swelling stocks at its ports, which may weaken exports and put pressure on prices.
Traders say China's palm oil stocks are up 25 percent to half a million tonnes, a marked contrast to its port soybean stocks, which have fallen by as much as half in the past three months to 2-3 million tonnes.
Soy imports are expected to surge as China's food processors try to keep up with soyoil demand but on the palm oil front, China just bought 340,000 tonnes of mostly refined palm olein from Malaysia compared to the monthly 400,000-450,000 tonnes.

Breaking News-RTRS-China soy buyers move to post-Feb cargoes-survey

BEIJING, Oct 29 (Reuters) - Chinese soybean buyers are shifting to mostly purchase cargoes for shipment after February with volumes seen staying high, according to an official survey.
Loadings of U.S. soy cargoes to China have sped up after wet weather delayed harvest, which should ease tight supply of imported soybeans in the domestic market, said the China National Grain and Oils Information Centre (CNGOIC).

Breaking News-RTRS-US soy oil stocks 2.739 bln lbs in September - Census

WASHINGTON, Oct 29 (Reuters) - U.S. soybean oil stocks
totaled 2.739 billion lbs in September, compared to 3.010
billion lbs in August, the U.S. Census Bureau said on
Thursday.
The data were released as part of the Census Bureau's
monthly Fats & Oils Production and Stocks report.

Trader's Highlight

DJI-NEW YORK, Oct 29 (Reuters) - U.S. stocks logged their best one-day percentage gain in three months on Thursday as investors saw data showing the U.S. economy returned to growth in the third quarter as brightening the outlook for profits.

The government's first estimate of U.S. gross domestic product showed the economy expanded at an annual rate of 3.5 percent in the third quarter, suggesting it was emerging from the worst recession in 70 years. The quarter of growth was the first after more than a year of contraction in GDP.

The Dow Jones industrial average <.DJI> gained 199.89 points, or 2.05 percent, to end at 9,962.58. The Standard & Poor's 500 Index <.SPX> jumped 23.48 points, or 2.25 percent, to 1,066.11 -- marking its biggest one-day percentage gain in three months. The Nasdaq Composite Index <.IXIC> shot up 37.94 points, or 1.84 percent, to close at 2,097.55.

NYMEX-NEW YORK, Oct 29 (Reuters) - U.S. crude oil futures ended more than 3 percent higher on Thursday as data showing the U.S. economy grew in the third quarter for the first time in a year spurred fresh hopes for higher oil demand.

On the New York Mercantile Exchange, December crude settled up $2.41, or 3.11 percent, at $79.87 a barrel, trading from $77.03 to $80.46.

CBOT-SOYBEANS - November up 17 cents at $9.85-1/2 a bushel. Firm crude oil lends support following soybeans dropping to their lowest level since Oct. 9.

CBOT-SOYOIL - December up 0.66 cent at 37.52 cents per lb.Strength in crude oil futures lends support to soyoil.

FCPO-KUALA LUMPUR, Oct 29 (Reuters) - Malaysian crude palm oil futures rose 1.7 percent on Thursday, bouncing from 2-week lows hit earlier in the session although higher stocks kept traders cautious.

The benchmark January palm oil contract on the Bursa Malaysia Derivatives Exchange ended up 37 ringgit at 2,189 ringgit ($639.5) a tonne. The contract earlier dropped as much as 22 ringgit to 2,130 ringgit, a level unseen since Oct. 15.

REGIONAL EQUITIES-BANGKOK, Oct 29 (Reuters) - Southeast Asian stock markets endend lower on Thursday as investors worried over the economic outlook and selling continued to hit big caps such as Singapore Telecoms, CIMB Group and Indonesia's Bank Rakyat.

Malaysia's index <.KLSE> fell 0.6 percent to the lowest since Oct. 14, weighed down by a 1 percent fall in financial CIMB Group . AMMB Holdings was down 1 percent and Genting 1.5 percent lower.

Singapore's index <.FTSI> ended down 0.6 percent, recovering some of its early fall to its lowest since Oct. 6, with Singapore Telecommunications , Southeast Asia's biggest telecom firm, dropping 2 percent to a near-four-month low.

FCPO Daily: Holding ground

A long white candle appears following prices turning upward after found some cushion at 2130 levels. Thus, consolidation phase is likely to continue in near term. Currently, we are looking for the immediate upside resistance at 2200-2205 (gap left over on 27/10/2009) followed by 2250. While, downside support is lies at 2130 followed by 2108-2085 (unfilled gap left over since 12/10/2009).

FKLI Daily: Defended at 1230 levels.

Market was trying to defend at the underline support at 1230 levels. However, immediate technical landscape remains in tiredness mode. Thus, market may consolidate in near term. Violation of the underline support at 1230 levels may see further correction in near term. While, upside resistance is looking at 1241.5-1244.5 (gap left over on 29/10/2009) followed by 1256.5-1259 (gap left over on 27/10/2009).