Breaking News - RTRS - China Zhejiang regulator says no probe on Dadi

SINGAPORE, Sept 10 (Reuters) - The securities regulator in China's Zhejiang Province said on Friday that there is no investigation into Zhejiang Dadi Futures Co, and that market talk of an investigation that caused a sharp fall in Chinese commodities futures prices on Thursday was unfounded.

"The Zhejiang Securities Regulatory Bureau has not, and is not doing any investigation on Zhejiang Dadi Futures Co," an official at the bureau told Reuters by telephone.

"That is a rumour. It's not true."

Shanghai rubber futures fell by 3.8 percent on Thursday, in a record trading range after a two-year peak early in the day. The drop in rubber prices ignited a fall in other commodities.

On Friday Shanghai rubber extended losses by 0.7 percent to close at 25,265 yuan per tonne. On the week, the market ended 3.7 percent lower, its biggest weekly fall since early June.

China Zhejiang Dadi Futures Co said on Thursday it had received no notification from regulators or exchanges about any probe into its activities in commodities futures.

"Our company is operating as normal, and has not received any written or oral notification on an investigation in the company's commodities futures trading from the regulator or exchange," said Zhejiang Dadi in a statement on its website on Thursday (www.ddqh.com).

Breaking News - RTRS - China Aug soy imports down 3.6 pct, more falls seen

BEIJING, Sept 10 (Reuters) - China's soybean imports fell 3.6 percent on the month in August to 4.77 million tonnes, still the fourth largest monthly import ever, with further declines seen.

Crushers have booked less for coming months after massive imports -- a record 6.2 million tonnes in June followed by 4.95 million tonnes in July -- squeezed margins.

"Some trading houses have been losing money and reduced purchase volumes," said one trading executive in Shandong, who said firms in the province, which imports the most soybeans for trading, may have reduced imports by 20 percent from earlier months.

The China National Grain and Oils Information Centre (CNGOIC) estimates October imports could be as low as 3 million tonnes while imports in September would be about 4.5 million tonnes, still both higher than the year-ago period.

China's imports in the whole year of 2010 are likely to hit a record of more than 51 million tonnes, up 20 percent on year, CNGOIC said in a report on its web site (www.grain.gov.cn).

An expansion of crushing capacity and low soyoil imports boosted China's soybean purchases for the first eight months of the year by 20 percent to 35.53 million tonnes, General Administration of Customs figures on Friday showed.

SOYOIL IMPORTS TO PICK UP

China's soyoil imports have picked up, with August and September volumes to rise to more than 200,000 tonnes each month as compared with 407,092 tonnes of total imports in January to July, said CNGOIC.

The fourth quarter is the peak consuming season for soyoil as retailers build up stocks ahead of October and Lunar New Year holidays.

"Soyoil purchases could slow down for a short while as domestic prices are weakening, but we expect more purchases from the United States because domestic prices could turn strong later," said a trader with a state-owned company.

Chinese buyers booked 100,000 tonnes of U.S. soyoil last month for October to December shipment as buyers switch away from expensive Brazilian material, traders said.

Of the volume, Sinograin Oils Co, Ltd, a subsidiary of Sinograin, which manages the central government reserves, booked 80,000 tonnes for its own refineries at prices of between $920 and $930 per tonne, two of the traders said.

China has banned soyoil imports from Argentina, the world's largest exporter, over a wide trade dispute, prompting buyers to shift to the United States and Brazil.

Customs data showed China imported 530,000 tonnes of vegetable oils in August, down from 620,000 tonnes in July. Imports in the first eight months fell 16.3 percent on year to 5.16 million tonnes.

Breaking News - RTRS- India's August vegoil imports seen up 36 pct y/y

NEW DELHI, Sept 9 (Reuters) - India's vegetable oil imports in August probably rose more than a third from a year earlier, the second annual rise since December, a Reuters survey showed on Thursday.

Traders said they had stepped up purchases in expectation of Indonesia's hike in its palm oil export tax. Late last month Indonesia increased the tax on crude palm oil to 6 percent for September, up from 3 percent tax in August.

Palm oil imports by India, the world's top edible oil buyer, rose 19 percent, while soyoil imports more than doubled as the premium over rival palm oil narrowed.

India mainly buys palm oils from Indonesia, Malaysia, and small quantity of soyoil from Argentina and Brazil.

"Expectation of a rise in export tax by Indonesia supported higher imports," said Sat Narain Agarwal, a Delhi-based trader.

India's vegetable oil imports, including non-edible oils, in August are estimated to have risen 36 percent to 884,125 tonnes from 650,603 tonnes a year ago.

An average forecast of eight traders showed India may have imported 857,125 tonnes of edible oil last month, up 40 percent a year ago, and 10 percent more than imports in July due to a rally in domestic oilseed prices on weather concerns.

The survey showed average estimated annual stocks at Indian ports at the end of August fell by 11 percent to 576,376 tonnes, reflecting festival season demand in the local market. Estimates ranged from 500,000 tonnes to 750,000 tonnes.

India's demand is expected to support benchmark November crude palm oil futures on Bursa Malaysia's Derivatives Exchange which fell 33 ringgit on Thursday to 2,641 ringgit ($848) per tonne, after hitting a three-week high on the previous day.

Trader's Highlight

DJI-NEW YORK, Sept 10 (Reuters) - The Dow and S&P 500 were on track on Friday to close the week with a seventh gain in the last eight sessions, a period that has seen investors worst fears about the economy start to dissipate.

The Dow Jones industrial average <.DJI> gained 44.04 points, or 0.42 percent, to 10,459.28. The Standard & Poor's 500 Index <.SPX> rose 5.13 points, or 0.46 percent, to 1,109.31. The Nasdaq Composite Index <.IXIC> added 5.06 points, or 0.23 percent, to 2,241.26.

NYMEX-NEW YORK, Sept 10 (Reuters) - U.S. crude oil futures rebounded sharply on Friday, and closed out the week with a 2.5 percent gain, after a shutdown Thursday of a major oil pipeline from Canada to the U.S. Midwest spawned supply uncertainty.

On the New York Mercantile Exchange, October crude settled up $2.20, or 2.96 percent, at $76.45 a barrel, after hitting a session high of $76.59 at the end of the floor trading session, the loftiest since the intraday high of $76.63 on Aug. 17. It fell 42 cents, or 0.56 percent, to $74.25 on Thursday.

CBOT - CHICAGO, Sept 10 (Reuters) - Chicago Board of Trade grain and soy complex close on Friday.

CBOT-SOYBEANS - November down 15 cents per bushel at $10.31. Pressured by higher-than-expected U.S. 2010 soybean yield and production forecasts in USDA's September crop report. USDA forecast a record-large soy harvest of 3.48 billion bushels and a record-high yield of 44.7 bushels per acre.

CBOT-SOYOIL - October up 0.17 cent per lb at 41.36 cents per lb.

FCPO- KUALA LUMPUR, Sept 9 (Reuters) - Vegetable oil markets fell on Thursday as investors scurried away from risk, scared off by market rumours that Chinese authorities were investigating speculative funds seen behind volatility in commodity prices.

Malaysian crude palm oil futures fell 1.3 percent and eased from three-week highs, followed by U.S. soyoil for October delivery losing 1.3 percent. The most active May soyoil contract on Dalian tumbled more than 2 percent to a two-week low.

REGIONAL EQUITIES-BANGKOK, Sept 9 (Reuters) - Most Southeast Asian stock markets gained on Thursday as successful European bond auctions eased concerns over Europe's debt problems, reviving appetite for equities in the region despite caution ahead of market holidays.

Indonesia, Malaysia and the Philippines are also closed for Muslim holidays on Friday. Indonesia remains closed until next Wednesday but the others resume trading on Monday.

Asian stocks in general edged up and the yen held below a 15-year high on Thursday after a small rally on Wall Street driven by the successful European bond auctions. Malaysia <.KLSE> gained 0.25 percent, ending a run of four weak sessions, with daily volume falling to two-thirds of its 90-day average.