Friday, December 4, 2009

Breaking News-RTRS-Malaysia palm oil price may hit 3,000 ringgit in Q1-Mistry

NUSA DUA, Indonesia, Dec 4 (Reuters) - Malaysian palm oil prices may rise up to 21 percent by the first quarter of 2010 from their current levels on strong demand and as hotter weather hits yields, a top industry analyst said on Friday.
Dorab Mistry, head of vegetable oils trading at Godrej International, raised his forecast for the first three months to 2,800-3,000 ringgit ($830.36-$889.67) a tonne from an earlier estimate of 2,400 ringgit.
"I expect palm oil prices to rise at the fastest pace in relation to all other vegetable oils," Mistry told the Indonesian Palm Oil Conference and Price Outlook 2010 meeting in Bali.

Breaking News-RTRS-Palm seen at 3,200 rgt/T by June on $85/bbl crude-Fry

NUSA DUA, Indonesia, Dec 4 (Reuters) - Malaysian palm oil prices are expected to rise to 3,200 ringgit per tonne by June if Brent crude oil stands at $85 a barrel and palm oil stocks in the world's number 2 producer fall to 1.25 million tonnes, James Fry, chairman of commodities consultancy LMC International, said on Friday.

Breaking News-RTRS-Goldman Sachs raises CBOT grain, soy forecasts

LONDON, Dec 3 (Reuters) - Goldman Sachs on Thursday raised its three and six-month forecasts for CBOT soybeans to $10.50 a bushel from a previous projection of $10.00.
The investment bank, issuing its 2010 Commodities price forecasts, also increased its 12-month forecast for CBOT soybeans to $11.00 a bushel from $10.00.
Goldman left unchanged its three-month forecast for CBOT corn and wheat but raised six-month forecasts to $4.50 and $5.50 a bushel respectively, up from previous projections of $4.00 and $5.00.
A further rise to $4.75 for corn and $6.00 for wheat was seen in the 12-month outlook.

Trader's Highlight

DJI-NEW YORK, Dec 3 (Reuters) - U.S. stocks fell on Thursday after data showed the vast U.S. services sector unexpectedly shrank in November and investors worried that Friday's non-farm payrolls report may show the recovery is sluggish.

The Dow Jones industrial average <.DJI> dropped 86.53 points, or 0.83 percent, to end at 10,366.15. The Standard & Poor's 500 Index <.SPX> slipped 9.32 points, or 0.84 percent, to close at 1,099.92. The Nasdaq Composite Index <.IXIC> fell 11.89 points, or 0.54 percent, to finish at 2,173.14.

NYMEX-NEW YORK, Dec 3 (Reuters) - U.S. crude futures ended lower in seesaw trading on Thursday amid economic worries, after a report showed that the services sector weakened in November. Traders were cautious ahead of Friday's unemployment report
for November and as crude futures remained pressured by Wednesday's government data showing domestic crude inventories rose more than expected last week.

On the New York Mercantile Exchange, January crude settled down 14 cents, or 0.18 percent, at $76.46 a barrel, trading from $75.54 to $77.50. At the close, the discount for NYMEX January crude against February crude was $1.75, after widening on Wednesday as much as $1.93, the steepest since Aug. 19.

CBOT-SOYBEANS - January up 13 cents per bushel at $10.47. Strong demand for U.S. soy including brisk exports giving soybean futures support but market on edge amid choppy two-sided trading in the dollar and crude oil.

CBOT-SOYOIL - December unchanged at 39.75.

FCPO-KUALA LUMPUR, Dec 3 (Reuters) - Malaysian crude palm oil futures edged 0.4 percent lower on Thursday after an industry analyst said the recent rally was overdone and did not reflect rising stock levels.

The benchmark February contract on the Bursa Malaysia Derivatives Exchange settled down 11 ringgit at 2,478 ringgit ($734.4) a tonne, after falling as low as 2,463 ringgit earlier in the session.

REGIONAL EQUITIES-BANGKOK, Dec 3 (Reuters) - Southeast Asian stock markets
mostly rose on Thursday, with Singapore hitting a 16-month high and Thai stocks rallying after a slump the previous day caused by a court ruling that hurt heavyweight PTT and others.

Singapore's benchmark stock index <.FTSTI> ended up 0.42 percent at its highest since August 2008, while Malaysia's main index <.KLSE> closed up 0.09 percent, having hit a one-week high during the day.

A rise in Malaysia's second-largest lender, CIMB Group , helped limit falls in the Kuala Lumpur market. The stock rose 0.93 percent after Moody's Investors Service said it had changed the outlook on CIMB Bank's Financial Strength Rating
to positive from stable.

CBOT Soyoil Daily: remains Positive


Immediate daily technical landscape remains positive despite prices eased off after tested the high at USc41.40. As for now, we continue to look for the immediate upside resistance at USc42.23-USc42.48 (gap left over on 6/10/2009). Immediate downside support is adjusted to USc39.37-39.00.

NYMEX Crude Daily: Weaker


Market violated the physiological support at USD75.00 and tested the low at USD72.39 (low on 27/11/2009)had dampened the overall market momentum. Thus, market may move sideways to lower in near term. As for now, we are looking for the upside resistance at USD78.00-79.00. While, underline support will be pegged at USD72.39.

FCPO Daily: Consolidation is likely to continue


Consolidation is likely to continue as prices continue to cap in between 2400 to 2500 levels. Hence, Upside resistance and downside support maintain at 2521 and 2428-2419 levels respectively.

FKLI Daily: Struggling


Market is still struggling to survive above the physiological support at 1250 levels. Thus, market may continue its correction mode in near term. While to the upside, resistance is pegged at 1286.