Thursday, January 28, 2010

Breaking News-RTRS-UPDATE 2-China meets palm oil festive demand, outlook cloudy

KUALA LUMPUR, Jan 27 (Reuters) - China has met palm oil demand requirements for the Lunar New Year festival earlier than expected and traders say purchases could slow soon after, leading to a weakening in the prices of the vegetable oil.
Ample stocks in China, the world's No. 2 vegetable oil importer, and concerns that its central bank may tighten credit further have clouded the outlook for the palm oil market, which usually gains in the first quarter.

Breaking News-RTRS-Obama to recast agenda to focus on jobs, deficit

WASHINGTON, Jan 27 (Reuters) - President Barack Obama will recast his agenda in a high-stakes address to the American people on Wednesday, focusing on jobs and deficits as he seeks to weather his worst political storm since taking office.
Obama's annual State of the Union speech to Congress at 9 p.m. (0200 GMT Thursday) follows the loss by his Democratic party of a pivotal Senate seat, imperiling legislative priorities like healthcare reform and financial regulation.

Trader's Highlight

DJI-NEW YORK, Jan 27 (Reuters) - U.S. stocks rose on Wednesday after the U.S. Federal Reserve said it will keep interest rates near zero and ahead of President Barack Obama's State of the Union address tonight.

But the Nasdaq got a late surge from a gain of almost 1 percent in the shares of Apple Inc after the iPad's debut.

NYMEX-NEW YORK, Jan 27 (Reuters) - U.S. crude oil futures ended lower on Wednesday as technical selling and data showing higher refined product inventories pressured the energy markets, negating an unexpected big crude stock drawdown.

Adding to oil trading woes, the dollar strengthened further against the euro after the U.S. Federal Reserve issued a statement that it would keep interest rates low for an extended period.

On the New York Mercantile Exchange, March crude settled lower a second straight day, down $1.04, or 1.39 percent, at $73.67 a barrel, trading from $72.65, lowest since the $71.99 low on Dec. 21, to $75.09.

CBOT-CHICAGO, Jan 27 (Reuters) - Chicago Board of Trade grains and soy complex close on Wednesday.

CBOT-SOYBEANS - March down 18-1/2 cents at $9.29 per bushel. Fell to 3-1/2 month low on prospects for record soy output in South America, plentiful U.S. soybean supplies and firmer dollar.

CBOT-SOYOIL - March down 0.45 cent at 36.32 cents per lb. Following soybeans lower.

FCPO-JAKARTA, Jan 27 (Reuters) - Malaysian crude palm oil futures rose nearly 1 percent on Wednesday, bouncing back from the lowest intraday level in nearly 10 weeks on late short covering, traders said.

The upside was capped by the prospect of weak demand from key buyer China, which is needed to reduce inventories in the world's number 2 producer, Malaysia, from a 13-month top in December.

REGIONAL EQUITIES-BANGKOK, Jan 27 (Reuters) - Singapore's index fell for a sixth session on Wednesday, weighed down by selling in Genting and other big caps, while Malaysia hit its lowest in almost a month, with banks suffering the most.

The benchmark Straits Times Index <.FTSTI> ended down 1.2 percent at its lowest since Nov. 13, with top developer CapitaLand dropping 3.1 percent and gaming groupGenting Singapore slumping 5.5 percent.

Malaysia <.KLSE>, Southeast Asia's second-best performer this year, finished 1.3 percent lower, adding to a 1.9 percent loss over the previous three days, with top lender Maybank down 0.44 percent, number two CIMB losing 2.3 percent and Public Bank 1.7 percent lower.

FCPO Daily: 2400 levels tested!


Market rebounded after tested the 2400 physiological support levels at intra-day basis. Nevertheless, the overall immediate technical landscape still in negative mode and looks may continue to move lower in near term. As for now, we continue to look for the immediate support at 2370-2360. While, upside resistance is pegged at 2458-2460 (gap left over on 26/1/2010).

FKLI Daily: Bears conquered


Market extended its losing streak for the consecutive two trading days to end near to day low. Bears conquered the overall momentum and looks may continue to move bias downside potential in near term. As for now, we are looking at the upside resistance at 1280-1285. While, downside support is pegged at 1250.