RTRS-China to step up palm oil purchases - Oil World

HAMBURG, Feb 7 (Reuters) - China is likely to import more palm oil in coming months to meet rising demand for edible oil in its growing economy, although soyoil imports will remain at last season's levels, Hamburg-based oilseeds analysts Oil World forecast on Tuesday.

China's October 2011/September 2012 palm oil imports are likely to rise by 0.75 million tonnes on the year to 6.7 million tonnes, it said.

"Imports of soyoil will probably not change much and stay close to last season's low of 1.32 million tonnes due to insufficient world supplies," it said.

Oil World forecasts China's 2011/12 soyoil imports will be only marginally higher on the year at 1.35 million tonnes.

Drought in major soybean producers Argentina and Brazil could cut their export supplies of both soybeans and soyoil this year, it said.

China's rapeseed/canola oil imports rise to 0.87 million tonnes in 2011/2012 from 0.69 million tonnes, it added.

RTRS-POLL-U.S. farmers seen adding corn, soy acres in 2012

CHICAGO, Feb 7 (Reuters) - U.S. farmers are expected to plant the most acres to corn this spring since 1944, while soybean seedings are expected to expand slightly in the world's largest grower of both crops.

A Reuters poll of 24 analysts showed the average estimate for 2012 corn plantings at 94.2 million acres, more than 2 million acres above the 2011 total of 91.9 million. For soybeans, the average estimate was for 75.3 million acres, up from 75.0 million planted to soy in 2011.

The U.S. Department of Agriculture is scheduled to release its first official forecasts of U.S. 2012 corn and soybean seeding intentions in its "Prospective Plantings" report on March 30. The agency will release its 10-year "baseline" agricultural projections on Feb. 13.

RTRS-ANALYSIS-China eyes U.S. soy as drought shrivels LatAm crop

SINGAPORE/BEIJING, Feb 6 (Reuters) - China, the world's biggest food shopper, is likely to buy more U.S. soybeans this quarter, as a withering drought is expected to cut the South American harvest, pushing soy prices up to fresh highs.

Benchmark Chicago soy has risen for three weeks on the relentless southern hemisphere summer, and analysts say prices could head higher, with U.S. stockpiles seen shrinking as China locks in supplies after the Lunar New Year break.

China imports 60 percent of soybeans shipped around the world, with the bulk of its purchases coming from the United States and Brazil, the world's top exporters.

Trader's Highlight

DJI- NEW YORK, Feb 7 (Reuters) - U.S. stocks rose slightly on Tuesday, but with the outcome of discussions on a bailout package for Greece uncertain, investors are unlikely to make big bets in coming days.

The S&P has gained almost 7 percent in 2012 on better-than-expected economic figures, boosting bellwethers such as Microsoft Corp to yearly highs and Apple Inc.

The Dow Jones industrial average <.DJI> was up 33.07 points, or 0.26 percent, at 12,878.20. The Standard & Poor's 500 Index <.SPX> was up 2.72 points, or 0.20 percent, at 1,347.05. The Nasdaq Composite Index <.IXIC> was up 2.09 points, or 0.07
percent, at 2,904.08.

NYMEX- NEW YORK, Feb 7 (Reuters) - U.S. crude oil futures bounced back to gain more than 1.5 percent on Tuesday amid volatile transatlantic spread play and on news of a two- to three-week shutdown of an Alberta plant that processes Canadian
oil sands.

Trading volume was heavy. At the close of electronic trading at 5:15 p.m. EST (2215 GMT) crude futures volume on New York Mercantile Exchange hit more than 1.1 million contracts, 91 percent above the 30-day average, according to Reuters data. The record is 1.43 million contracts set on April 13, 2010.

On the New York Mercantile Exchange, crude for March delivery settled at $98.41 a barrel, rising $1.50, or 1.55 percent.

CBOT- Chicago Board of Trade soybean futures closed lower on improved crop weather in South America and on positioning ahead of the release on Thursday of USDA's February crop production and supply/demand reports.

Occasional showers continued to dot key South American soy- and corn-growing areas, providing relief to the pod-setting soy but the rainfall was too late to revive the corn crop in Argentina that was harmed by hot and dry weather.

A turn to dry weather in Argentina for the next seven days should not cause any problems for crops. "Argentina will be dry for a while but they've had decent rains for the past couple of weeks," said John Dee, meteorologist for Global Weather
Monitoring.

Declines were slowed by a weak dollar. The euro gained after a Greek official said the country's government was drafting an agreement on a bailout deal that would be put before political leaders for approval later in the day.

FCPO- SINGAPORE, Feb 3 (Reuters) - Malaysian crude palm oil closed higher on last minute short-covering on Friday ahead of a long weekend holiday, reversing earlier losses caused by a stronger ringgit currency that has hurt refiner margins as
demand slows.

The ringgit has strengthened around 5 percent against the dollar in 2012, making it more expensive for refiners to buy ringgit-priced feedstock to process.

The market was on the lookout for a possible announcement next week on Malaysia's crude palm oil quota that has been delayed since December, which hampered export licence holders' ability to supply overseas refiners with cheap feedstocks.

Benchmark April palm oil futures on the Bursa Malaysia Derivatives Exchange ended up 1 percent to close at 3,085 ringgit ($1,025) per tonne. The futures market has lost 2.8 percent so far this year.

Traded volumes stood at 19,683 lots of 25 tonnes each, thinner than the usual 25,000 lots ahead of a long weekend holiday.

REGIONAL EQUITY- Feb 7 (Reuters) - Stocks in the Philippines and
Indonesia fell while Singapore and Thai shares posted limited
gains on Tuesday amid mild selling pressure as caution about the
euro zone crisis set in due to dragged-out Greek
debt-restructuring talks.

Greek resistance to the strict conditions attached to a bailout fund sapped recent momentum across Asia that has been spurred by hopes the global economy is improving.

In a choppy session, Singapore's Straits Times Index <.FTSTI> edged up 0.6 percent, Vietman's Ho Chi Minh Stock Exchange index <.VNI> gained 0.34 percent and Thai SET index <.SETI> moved up 0.57 percent by 0905 GMT.

Malaysia's stock market was shut on Tuesday for religious festivals and will reopen on Wednesday.