NYMEX Crude Daily: Strengthen further

Market surged with printed a long white candle had strengthen further the immediate technical landscape. Market looks may continue to move sideways to bias upside potential in near term with immediate upside target at USD78.00-79.00 followed by USD80.00. Downside support is pegged at USD72.00

Invitation to Market Outlook 2010

Breaking News-RTRS-Oil World sees rise in 2009/10 global soy crushing

HAMBURG, Dec 22 (Reuters) - Global soybean crushing from October 2009 to September 2010 are likely to rise to 203.4 million tonnes from 194.1 million tonnes in the previous season due to a decline in processing of other oilseeds, Oil World forecast.
"In the U.S. oilseed crushings started to recover in October under the lead of soybeans," the Hamburg-based oilseeds analyst said on Tuesday.
It forecasts U.S. October 2009/September 2010 soybean crushings will rise to 47.9 million tonnes from 44.8 million tonnes in 2008/09, while U.S. processing of other oilseeds will decline.

Trader's Highlight

DJI- NEW YORK, Dec 22 (Reuters) - The S&P 500 logged another 14-month high on Tuesday as stocks rallied on a surge in existing home sales, which indicated more stabilization in housing and boosted optimism about the economic recovery.

Housing stocks led the way up with the Dow Jones U.S. home construction index <.DJUSHB> up 3.9 percent following data that showed U.S. existing home sales rose in November at the fastest pace since February 2007.

The Dow Jones industrial average <.DJI> rose 50.79 points, or 0.49 percent, to end at 10,464.93. The Standard & Poor's 500 Index <.SPX> added 3.97 points, or 0.36 percent, to 1,118.02. The Nasdaq Composite Index <.IXIC> gained 15.01 points, or 0.67 percent, to close at 2,252.67.

NYMEX- NEW YORK, Dec 22 (Reuters) - U.S. crude oil futures edged up in post-settlement trading on Tuesday after an industry group reported crude inventories fell more than expected last week.

Crude futures seesawed and then settled higher ahead of weekly oil inventory reports expected to show that crude and distillate stocks fell last week. The American Petroleum Institute in a report released Tuesday afternoon, said crude inventories fell 3.7 million barrels last week, despite imports rising 127,000 barrels per
day to 8.98 million bpd.

On the New York Mercantile Exchange, front-month February crude rose 68 cents, or 0.92 percent, to settle at $74.40 a barrel, trading from $72.72 to $74.91. Crude ended Post-settlement Globex electronic trading ended up 74 cents at $74.46, but with the trading range unchanged.

CBOT- SOYBEANS - January down 10 cents at $9.91 a bushel. Prices drop for fourth straight day, closing at lowest level since Nov. 13 on technical selling, along with disappointing export inspections, a firmer dollar and favorable South American crop weather.

CBOT- SOYOIL - January down 0.23 cent at 38.05 cents per lb. Following soybeans lower.

FCPO- KUALA LUMPUR, Dec 22 (Reuters) - Malaysian crude palm oil futures fell for a second day on Tuesday on a firmer U.S. dollar, but the decline was slower compared to the day before due to expectations of a stock drawdown. The benchmark March contract on the Bursa Malaysia Derivatives Exchange ended 40 ringgit lower at 2,515 ringgit ($732.4) in heavy trading.

REGIONAL EQUITIES-BANGKOK, Dec 22 (Reuters) - Most Southeast Asian stock markets gained on Tuesday as buying interests in big caps spanned across the region, helping Singapore end a three-day losing streak and pushing the Thai index to its highest in two months.

Malaysia's index <.KLSE> also reversed its three-day falls, closing up 0.4 percent, with gaming group Genting and YTL Corp rising over 1 percent each. Singapore's index <.FTSTI> rose 1.3 percent, ending weak sessions over the past three days, with top telecoms firm Singapore Telecommunication gaining 2 percent and top lender DBS Group Holdings up 1.8 percent.

FCPO Daily: Searching for a base support

Two day of losing streak had slowing down the market upside move.Market looks may continue to consolidate searching for a base support. For now, we are looking for the immediate downside support at 2500-2480 followed by 2460-2445. To the upside, resistance is pegged at 2585-2598 (gap left over on 21/12/2009) followed by 2628.

Breaking News-RTRS-Malaysia eyes Africa for oil palm expansion-report

KUALA LUMPUR, Dec 21 (Reuters) - Malaysia's state plantation agency will focus on growing oil palms in West Africa after scrapping plans to develop estates in Brazil last month, the Business Times reported on Monday.
The Federal Land Development Authority (FELDA), which owns 800,000 hectares of plantation land in Malaysia, will expand mostly in Cameroon and Liberia, its chairman Mohamad Yusof Noor was quoted as saying by the business daily.

Breaking News-RTRS-Indonesia Bakrie Sumatera: 2010 palm oil output at 430,000 T

JAKARTA, Dec 21 (Reuters) - Indonesian plantation firm PT Bakrie Sumatera Plantations Tbk expects palm oil output of around 430,000 tonnes in 2010, President Director Ambono Janurianto said on Monday.
The forecast is slightly higher than the firm's earlier forecast output of 420,000 tonnes for next year.

Breaking News-RTRS-UPDATE 1-Indonesia palm oil export tax at 3 pct in Jan -source

JAKARTA, Dec 21 (Reuters) - Indonesia will increase its palm oil export tax to 3 percent in January after holding it at zero for the past five months, said an industry source said on Monday.
A hike in the export tax was widely expected following a rise in prices. The 3 percent export tax is based on a reference price of $769.17 CIF Rotterdam, the source said.

Trader's Highlight

DJI-NEW YORK, Dec 21 (Reuters) - Optimism about the economic recovery on Monday encouraged investors to buy stocks and dump U.S. Treasuries, while gold prices fell as investors expected the dollar to remain firm in the beginning of the new year.

Speculation that the Federal Reserve may raise interest rates sooner than forecast drove the dollar to a six-week high against the yen and kept it near its strongest level against the euro in three months.

The Dow Jones industrial average <.DJI> ended up 85.25 points, or 0.83 percent, at 10,414.14, while the Standard & Poor's 500 Index <.SPX> gained 11.58 points, or 1.05 percent, to 1,114.05. The Nasdaq Composite Index <.IXIC> was up 25.97 points, or 1.17 percent, at 2,237.66.

NYMEX-NEW YORK, Dec 21 (Reuters) - U.S. crude futures ended lower on Monday, pressured by the stronger dollar as the front-month January crude contract moved toward expiration.

The market also eyed indications that OPEC will leave production targets unchanged at its meeting on Tuesday.

On the New York Mercantile Exchange, expiring January crude fell 89 cents, or 1.21 percent, to settle at $72.47 a barrel, trading from $71.99 to $74.32.

NYMEX February crude fell 70 cents, or 0.94 percent, to settle at $73.72 a barrel, trading from $73.17 to $75.24.

CBOT-SOYBEANS - January down 11 cents at $10.01 a bushel. Market closes at lowest level since Nov. 13 on pressure from drop in crude oil prices. Good growing weather in South America, firm dollar also contribute to weakness.

CBOT-SOYOIL - January down 0.05 cent at 38.28 cents per lb.Turned lower as crude oil fell.

FCPO-KUALA LUMPUR, Dec 21 (Reuters) - Malaysian crude palm oil futures dropped 2.5 percent on Monday, retreating from last week's six-and-a-half month highs on Friday's drop in U.S. soyoil prices as well as slowing exports.

The benchmark March contract on the Bursa Malaysia Derivatives Exchange settled down 65 ringgit at 2,555 ringgit ($744.5) per tonne, its sharpest one-day drop since Oct. 2.The contract on Friday hit 2,628 ringgit, a level unseen since June. 2.

REGIONAL EQUITIES-BANGKOK, Dec 21 (Reuters) - Indonesia's stock index fell more
than 3 percent to its lowest in almost three weeks on Monday, leading declines in other major regional markets, with big caps such as Telkom Indonesia and Astra International leading the way.

Malaysia <.KLSE>, which was also closed on Friday, fell almost 1 percent on Monday to its lowest since Nov. 30, as palm plantation firms fell in line with crude palm oil futures, which dropped 2.2 percent on the day. [nSGE5BK03B] Among losers, IOI Corp slid 2.5 percent, Sime Darby was off 1.1 percent, Wilmar International fell 0.5 percent and Astra Agro lost 3.8 percent.

Singapore's index <.FTSTI> fell 0.6 percent, with top lender DBS Group Holdings off 1.6 percent, top telecoms firm Singapore Telecommunications dropping 2.3 percent and United Overseas Bank 0.7 percent lower.

CBOT Soyoil Daily: Continue to lose ground

Market continue to lose ground after violated the underline support at Usc39.00. Overall technical landscape remains weak. Currently, we are looking for the immediate downside support at Usc38.50-38.00 followed by Usc37.50. To the upside, resistance is pegged at Usc39.00-39.50.

NYMEX Crude Daily: Defended well

Market temporary has found some support around USD68 and rebounded to stay firm above USD70. However, more strength is needed to maintain the upside move. To the upside, we are looking at USD75-76 followed by USD78.00. Downside support is pegged at USD68.50.

FCPO Daily: Taking a break

Market took a little breathe after hit the recent high at 2628. Nevertheless, immediate technical outlook remains positive. As for now, we are looking for the immediate upside resistance at 2585-2598 (gap left over on 21/12/2009)followed by 2628 levels. While, downside support is lies at 2546-2539 (gap left over on 16/12/2009) followed by 2500-2480 levels.

Breaking News-PREVIEW-Indonesia to hike Jan palm oil export tax to 3 pct

JAKARTA, Dec 18 (Reuters) - Indonesia, the world's top crude palm oil (CPO) producer, may hike the export tax to 3 percent in January from zero now because of higher prices, but the move is unlikely to hit exports given tight global supply.
Trade ministry and industry officials meet every month to decide the tax rate for the following month, using the average spot CPO prices in Rotterdam in the preceding 30 days as a reference price. Their next meeting will take place next week.
"As palm oil prices are predicted to continue to rise to 3,000 ringgit ($873.36) per tonne next year, we expect the export tax to rise further due to the progressive tax system," Susanto Yang, head of the marketing division at the Indonesian Palm Oil Association (GAPKI), told Reuters.
The existing CPO export tax system, aimed at safeguarding domestic supply and reducing volatility in cooking oil prices, allows the government to impose tax rates from 1.5 percent to 25 percent.

Breaking News-RTRS-Informa sees more US corn acres in 2010, less soy

CHICAGO, Dec 18 (Reuters) - Analytical firm Informa Economics expects an 3.7 percent increase in U.S. corn plantings in 2010, while soybean seedings should drop by 0.7 percent, trade sources said Friday.
Informa estimated 2010 U.S. corn acreage at 89.504 million and soybeans at 76.993 million, traders said.
In 2009, U.S. farmers planted 86.4 million acres of corn and 77.5 million acres of soybeans, the U.S. Department of Agriculture has said.

Trader's Highlight

DJI-NEW YORK, Dec 18 (Reuters) - U.S. stocks rose on Friday in choppy trade as quarterly results from Oracle and Research In Motion lifted the Nasdaq more than 1 percent, but the U.S. dollar's climb curbed gains in both the Dow and the S&P 500.

The Dow Jones industrial average <.DJI> added 20.63 points, or 0.20 percent, to 10,328.89. The Standard & Poor's 500 Index <.SPX> gained 6.39 points, or 0.58 percent, to 1,102.47. The Nasdaq Composite Index <.IXIC> climbed 31.64 points, or 1.45 percent, to 2,211.69.

NYMEX-NEW YORK, Dec 18 (Reuters) - U.S. crude futures rose nearly 1 percent in choppy pre-holiday trade on Friday, on short covering ahead of the January contract expiration on Monday.

A dispute between Iran and Iraq and cold weather across the U.S. and Europe helped support prices.

On the New York Mercantile Exchange January crude rose 71 cents, or 0.98 percent, to settle at $73.36, trading from $72.55 to $74.69.

CBOT-SOYBEANS - January down 10 cents per bushel at $10.12. Firm dollar lends pressure, with additional weight from good soy crop weather in South America.

CBOT-SOYOIL - January down 0.31 cent per lb at 38.33 cents per lb. Spillover pressure from lower soy and firm dollar; fading gains in crude oil add pressure.

FCPO-JAKARTA, Dec 17 (Reuters) - Malaysian crude palm oil futures jumped 1.3 percent on Thursday to the highest closing level in six and a half months as investors continued to bet on good demand and prospects of tight supply, traders said.

The benchmark March contract on the Bursa Malaysia Derivatives Exchange settled up 34 ringgit at 2,620 ringgit ($762.74) per tonne, the highest closing level since June 1.

Overall volume shot up to 22,564 lots of 25 tonnes each, more than double the usual 10,000 lots.

REGIONAL EQUITIES-BANGKOK, Dec 18 (Reuters) - Southeast Asian stock markets
mostly edged down on Friday in thin turnover, with concerns about the earnings outlook at top U.S. financial firms fuelling selling in banks such as Singapore's DBS Group and Thailand's Bangkok Bank.

Singapore's benchmark stock index <.FTSTI> fell 0.38 percent, after rising to its highest in more than a year the previous day, and Thailand's main index <.SETI> ended flat, after dropping as much as 0.64 percent.

The Philippine stock market <.PSI> closed down 1.02 percent, having hit a one-week low in early trade, but Vietnam <.VNI> rose 1.95 percent, a day after falling to a near-five-month low. Stock markets in Malaysia <.KLSE> and Indonesia <.JKSE> were
closed for holidays.

CBOT soyoil Weekly: Consolidation

Market maintain in consolidation mode. Thus, we continue to look of the upside resistance at USc41.40 and downside support is lies at USc37.50-36.50.

NYMEX Crude Weekly: Market momentum remains weak

Market momentum remains weak despite prices close at above the physiological support at USD70.00. Thus, market likely to extend its sideways to lower in near term. As for now, we continue to look for the upside resistance at USD82.00. While, underline support remains pegged at USD65.00.

FCPO Weekly: More room to bias upside potential

Market violated the recent high at 2606 levels and close off the weekly high had beautified the immediate technical outlook to bias upside potential. Hence, we maintain our view to move higher in near term with upside resistance looking at 2650 followed by 2800 levels. While, downside support remains at 2450-2420 followed by 2428-2419 (left over gap on 29/11/2009).

FKLI Weekly: Remains in sideways

Nothing much changes on the immediate weekly technical landscape as market still stuck in between 1250 to 1286 levels. Violation of either way may give us a clearer direction.

Trader's Highlights

DJI - NEW YORK, Dec 16 - U.S stocks finished flat to slightly higher on Wednesday after the Federal Reserve reiterated its intention to keep interest rates low for the foreseeable future to ensure a sustainable economic recovery.

Wall Street trimmed gains after the Fed voted unanimously to keep benchmark borrowing costs in a range of zero to 0.25 percent, which represents historic lows.

The Dow Jones industrial average slipped 10.88 points, or 0.10 percent, to end at 10,441.12. But the Standard & Poor's 500 Index gained 1.25 points, or 0.11 percent,
to 1,109.18. The Nasdaq Composite Index added 5.86 points, or 0.27 percent, to 2,206.91.

NYMEX - NEW YORK, Dec 16 - U.S. crude futures rose sharply on Wednesday after the government's oil inventory report showed crude oil and distillate supplies fell much more than expected last week.

On the New York Mercantile Exchange, January crude rose $1.97, or 2.79 percent, to settle at $72.66 a barrel, trading from $70.59 to $73.55.

CBOT - SOYBEANS - January up 4-1/2 cents at $10.59-1/2 a bushel.
Support from news China bought more U.S. soy, gains in crude oil and reluctance to be short soy ahead of expected fund buying early in 2010. But ended below day's high as market gave up most of its early gains amid technical selling after prices failed to top Tuesday's high.

CBOT - SOYOIL - January up 0.69 cent at 40.33 cents per lb.
Rally in crude oil futures lends support.

FCPO - JAKARTA, Dec 16 - Malaysian crude palm oil futures surged 2.3 percent to their highest closing level in six and a half months on Wednesday supported by a crude oil price rebound and fresh buying in the physical market, traders said.

"After crude oil moved above $71, people get excited again. We also heard that a big buyer has been chasing olein again since the morning," said a trader at a Kuala Lumpur-based brokerage firm.

The benchmark March contract on the Bursa Malaysia Derivatives Exchange settled up 57 ringgit to 2,587 ringgit ($755.77) per tonne, the highest finishing since June 2.

REGIONAL EQUITIES - BANGKOK, Dec 16 - Stock markets in Singapore, Indonesia and Thailand gained on Wednesday as investors piled into big caps late in the session, with Singapore's Genting, Thailand's CP Foods and Indonesia's Telekomunikasi among risers.

Most Southeast Asian stock markets were range-bound earlier as markets elsewhere in Asia slid on profit-taking in thin trading volume.

Singapore's index rose 0.5 percent to 2,813.93, with gaming group Genting Singapore climbing 5.5 percent, DBS Group Holdings adding 1 percent and Singapore Airlines jumping 3.5 percent.

Thailand's key stock index was up 0.9 percent, earlier climbing to its highest since Nov. 12, led by a 2.6 percent gain in energy firm PTT Exploration and Production and a 5.6 percent rise in chicken firm CP Foods.

Malaysia's index dipped 0.14 percent after a combined gain of over 1 percent in the previous four sessions. Trade in Kuala Lumpur was thin ahead of a holiday on Friday, dealers said.