Breaking News-RTRS-Malaysia, Bangladesh mull bilateral palm oil pact

KUALA LUMPUR, Dec 14 (Reuters) - Bangladesh wants to buy palm oil from Malaysia via its state trading arm to ensure sufficient supply and price stability for the edible oil, said a Malaysian minister.
"Bangladesh is interested to have a government-to-government buying arrangement to ensure there is steady supply and price of palm oil is maintained in the local market," Malaysia's Plantation Industries and Commodities Minister Bernad Dompok was quoted by state news agency Bernama as saying.
Such an arrangement will boost Malaysia's palm oil export given Bangladesh's low per capita consumption of palm oil, said Dompok.

Trader's Highlight

DJI-NEW YORK, Dec 14 (Reuters) - U.S. stocks closed at 14-month highs on Monday as Abu Dhabi's $10 billion in aid to help Dubai avoid default eased concerns and a takeover deal by Exxon Mobil Corp raised optimism about mergers and acquisitions activity.

Citigroup Inc's plan to repay the U.S. government about $20 billion in bailout funds also helped buttress the buoyant mood a week after Bank of America fully repaid its $45 billion government loan.

The Dow Jones industrial average <.DJI> gained 29.55 points, or 0.28 percent, to end at 10,501.05. The Standard & Poor's 500 Index <.SPX> rose 7.70 points, or 0.70 percent, to 1,114.11. The Nasdaq Composite Index <.IXIC> climbed 21.79 points, or 0.99 percent, to close at 2,212.10.

NYMEX-NEW YORK, Dec 14 (Reuters) - U.S. crude futures slipped on Monday, settling lower for a ninth consecutive session after seesawing as concerns about healthy inventories and tepid demand offset a weak dollar and advancing equities.

On the New York Mercantile Exchange, January crude fell 36 cents, or 0.52 percent, to settle at $69.51 a barrel, lowest settlement since crude ended at $66.71 on Sept. 29.

CBOT-SOYBEANS - January up 20 cents at $10.55 per bushel. Surged into buy stops on weakening dollar and expectations of index fund buying in agricultural commodities in the new year. Bullish NOPA crush number adds support.

National Oilseed Processor Association reports U.S. November soybean crush at record large 160.259 million bushels, above range of trade estimates.

CBOT-SOYOIL - December expired up 0.18 cent at 39.40 cents per lb, January up 0.06 at 39.63 cents. Buoyed by rally in soybeans, which overshadows news China may release soybeans from reserves.

NOPA reports U.S. November soyoil stocks at 2.411 billion lbs, up from 2.286 billion in October.

FCPO-JAKARTA, Dec 14 (Reuters) - Malaysian crude palm oil futures fell 0.7 percent on Monday, after short-covering narrowed a loss of as much as 2 percent due to a drop in crude oil prices and talk of lower exports for the first half of December, traders said.

The benchmark February contract on the Bursa Malaysia Derivatives Exchange settled down 17 ringgit at 2,513 ringgit ($737.60), after going as low as 2,488 ringgit in early trade. Overall volume was 11,673 lots of 25 tonnes each.

REGIONAL EQUITIES-BANGKOK, Dec 14 (Reuters) - Thailand's benchmark stock index
<.SETI> ended at a two-week closing high on Monday, helped by strong buying interest from local institutions, while Malaysia's index <.KLSE> rose to its highest in nearly a week.

Most other Southeast Asian stocks were also in positive terrain for much of the day but volume fell. Singapore <.FTSTI> ended flat after early gains, while the Philippines <.PSI> rose for a third day and Vietnam <.VNI> rallied after a four-day loss.

In Kuala Lumpur, the main index <.KLSE> was up 0.4 percent at 1,265.45, its highest since Dec. 8, with financial CIMB Group and power utility Tenaga each rising about 1.3 percent.

FCPO Daily: Consolidation

Market was entering into consolidation zone as prices moving in sideways bias. Thus, we continue to look for the upside resistance at 2535-2540 followed by 2590-2606. Downside support is lies at 2480-2460 followed by 2428-2419 (gap left over on 23/11/2009).

FKLI Daily: Waiting for a significant breakout

Market defended well at the physiological support 1250 levels. A breakout of either the immediate upside resistance at 1275.5 or the downside support at 1250 may provide us a clearer direction in near term.

BMD Market Holiday

Dear All,



Please be informed that Bursa Malaysia Derivatives Berhad will be closed on the following days in conjunction with Awal Muharram, Christmas, and New Year:-



1. Friday, 18 December 2009 – Awal Muharram

2. Friday, 25 December 2009 – Christmas

3. Friday, 1 January 2010 – New Year



We wish all our Clients, Associates and Friends;



Merry Christmas & Happy New Year.



Great Year Ahead.

BURSA MALAYSIA HOLIDAY 2010

Breaking News-RTRS-RPT-Unilever cuts palm oil supplier ties after report

LONDON, Dec 11 (Reuters) - Consumer goods company Unilever , the world's largest user of palm oil, has suspended purchases of edible oil from Indonesian group Sinar Mas on concerns over rain forest destruction.
Unilever, which uses palm oil in such products as Dove soap, Ben & Jerry ice cream, and margarines like Stork, cancelled its annual 20 million pound ($32.6 million) contract with Sinar Mas after a critical report by environmental group Greenpeace.
Anglo-Dutch Unilever said on Friday it was suspending purchases from PT SMART , which is part of Sinar Mas, until the Indonesian group could give proof that none of its plantations was contributing to the destruction of rain forests.

Breaking News-RTRS-Europe oils-Palm prices seen steady before boost in 2010

AMSTERDAM, Dec 11 (Reuters) - Palm oil's upward potential may be limited in the near-term but rising demand, strength in other edible oil markets and increased speculation are seen driving prices up in early 2010, analysts said on Friday.
Prices of the tropical oil, used in products ranging from margarine to lipstick, have risen in recent months, boosted by a recovery in mineral oil prices, gains in soy oil prices and firm demand due partly to its relative discount to other oils.
Malaysian palm oil futures prices hit a six month high last week, but have pulled back in recent days on profit taking and broad weakness in commodities, with the market seen range-bound until the end of the year, traders said.
In the longer-term, prices could appreciate due to seasonally declining production and comparatively strong world demand, market experts said.

Trader's Highlight

DJI-NEW YORK, Dec 11 (Reuters) - The Dow and S&P 500 closed up for a third straight session on Friday after several solid consumer-related reports reinforced investors' confidence in a steady recovery by the economy.

The Dow Jones industrial average <.DJI> was up 65.67 points, or 0.63 percent, at 10,471.50. The Standard & Poor's 500 Index <.SPX> was up 4.06 points, or 0.37 percent, at 1,106.41. The Nasdaq Composite Index <.IXIC> was down 0.55 point, or 0.03 percent, at 2,190.31.

NYMEX-NEW YORK, Dec 11 (Reuters) - U.S. crude oil futures ended below $70 a barrel on Friday, hitting a two-month low and extending the market slump for the eighth straight day as a stronger dollar spurred selling.

On the New York Mercantile Exchange, January crude settled down 67 cents, or 0.95 percent, at $69.87 a barrel, the lowest since the $69.57 close on Oct. 7. It traded from $69.46, lowest since the Oct. 8 intraday low of $69.17, to $71.20.

CBOT-SOYBEANS - January up 8 cents at $10.35 per bushel. Spillover support from rally in corn, short-covering and supported by brisk exports of U.S. soy, especially to China.

CBOT-SOYOIL - December up 0.13 cent at 39.22 cents per lb; most-active January up 0.12 at 39.57.

FCPO-KUALA LUMPUR, Dec 11 (Reuters) - Malaysian crude palm oil futures rose 0.4 percent on Friday, supported by higher soyoil and an unexpected fall in stocks.

The benchmark February contract on the Bursa Malaysia Derivatives Exchange ended up 9 ringgit to 2,530 ringgit ($744.6).

REGIONAL Equity-BANGKOK, Dec 11 (Reuters) - Most Southeast Asian stock markets gained on Friday, with Thai stocks climbing to a one-week high on mainly local buying in recently depressed big caps such as PTT Exploration and Production and Advanced Info Service.

In Kuala Lumpur, the main index <.KLSE> inched up 0.01 percent, with Malayan Banking up 0.45 percent and Petronas Gas down 1 percent.

Singapore's index <.FTSTI> gained 0.7 percent, reversing a fall of nearly 1 percent in the previous two sessions, with the largest telecoms firm, Singapore Telecommunications , and top lender DBS Group each rising 1.3 percent.

NYMEX Crude Weekly: Weaken further

Immediate technical landscape weaken further following market violated the physiological support at USD70.00. Thus, market likely to extend its sideways to lower in near term. As for now, we are looking for the upside resistance at USD82.00. While, underline support will be adjusted to USD65.00.

CBOT Soyoil Weekly: Enter into consolidation

Market looks enter into consolidation zone after hitting the high at Usc41.40.Thus, market may move sideways in near term with upside resistance is pegged at USc41.40. While,immediate downside support is lies at USc39.00 followed by 37.50

FCPO Weekly: Took a breathe

Market took a breathe after hitting high at 2606 levels. However, immediate technical landscape maintain in positive posture. Thus, market likely to continue to move higher in near term with upside resistance is now looking at 2650 followed by 2800 levels. While, downside support remains at 2428-2419 (left over gap on 29/11/2009).

FKLI Weekly: Tiredness

Market is showing tiredness mode despite prices struggle to survive at above 1250 physiological support levels. Thus, violation of it may provide more room to bias downside potential which next support is looking at 1230 followed by 1200 levels. While to the upside, resistance at 1286 followed by 1300.

Breaking News-RTRS-EU biodiesel anger as Argentine imports replace US

HAMBURG, Dec 10 (Reuters) - Europe's biodiesel industry is struggling against large cheap imports from Argentina and the green fuel industry is considering a new trade complaint, industry groups said on Thursday.
Europe's association of biodiesel producers, the European Biodiesel Board, is considering taking action against Argentine biodiesel exports which it says can be sold at distorted price levels because of Argentine's export tax incentives.

Trader's Highlight

DJI-NEW YORK, Dec 10 (Reuters) - U.S. stocks gained on Thursday as signs of improving trends in the job market and a decline in the U.S. October trade deficit reassured investors the economy was on a steady growth path.

The Dow Jones industrial average <.DJI> was up 68.78 points, or 0.67 percent, at 10,405.83. The Standard & Poor's 500 Index <.SPX> ended up 6.40 points, or 0.58 percent, at 1,102.35. The Nasdaq Composite Index <.IXIC> closed up 7.13 points, or 0.33 percent, at 2,190.86.

NYMEX-NEW YORK, Dec 10 (Reuters) - U.S. crude oil futures fell on Thursday for a seventh day in a row, extending two-month lows below $70 before ending above that level in see-saw trading, as ample fuel supplies stoked worries about demand.

On the New York Mercantile Exchange, January crude settled down 13 cents, or 0.18 percent, at $70.54 a barrel, after moving from $69.81, lowest since the $69.17 low on Oct. 8, to $71.39.

In the latest losing streak, front-month NYMEX crude fell $7.83, or 10 percent, the biggest loss for front-month crude since the $11.65, or 16.3 pct loss in a six-day losing streak from June 30, to July 9.

CBOT-SOYBEANS - January down 1-1/2 cents at $10.27 per bushel. Weighed down by USDA's December supply/demand report that showed U.S. soy ending stocks above expectations.

USDA projected 2009/10 U.S. ending stocks of soy at 255 million bushels, above average trade estimate for 233 million.

CBOT-SOYOIL - December up 0.19 cent at 39.09 cents per lb; January up 0.18 at 39.45 cents. Rebounding; gaining against soymeal on oil/meal spreads.

FCPO-JAKARTA, Dec 10 (Reuters) - Malaysian crude palm oil futures edged lower on Thursday but recouped most of the day's fall after an industry regulator released better-than-expected stocks data, traders said.

The benchmark February contract on the Bursa Malaysia Derivatives Exchange settled down 5 ringgit, or 0.2 percent at 2,521 ringgit ($742.56) a tonne, coming off the day's low of 2,489 ringgit. Overall volume was 20,308 lots of 25 tonnes each.

REGIONAL EQUITIES-KUALA LUMPUR, Dec 10 (Reuters) - Stock markets in Malaysia,
Indonesia and the Philippines posted slight gains on Thursday after Wall Street rebounded overnight, but Vietnam fell to more than four-month lows as investors continued to fret about the strength of the global recovery.

Shares in Singapore also fell, though trading was subdued in much of the region as investors wound down their activities ahead of the year-end holidays. Thai markets were closed for a holiday.

Singapore's index <.FTSTI> lost 0.6 percent, with Keppel Corp sliding 1.1 percent and telecoms firm Singapore Telecom losing 0.7 percent.

Malaysia's main share index <.KLSE> rose 0.3 percent, with the country's No.2 lender CIMB also up 0.3 percent and telecoms firm Maxis 0.2 percent higher.

FCPO Daily: Sideways

Immediate technical outlook remains cloudy as 2520-2500 levels was tested on intra-day basis but closing manage to climb back at 2521 levels. Thus, consolidation mode likely to extend in near term. We maintain the upside resistance at 2606 followed by 2650 levels. While, downside support is adjusted to 2480-2450 followed by 2428-2419 (gap left over on 23/11/2009).

Breaking News-RTRS-INTERVIEW-EU demand scant for non-rain forest palm oil

HAMBURG, Dec 9 (Reuters) - Europe's food industry is proving slow to buy palm oil certified under a new scheme as produced without destroying tropical rain forests, the head of Germany's edible oil industry association OVID said on Wednesday.
Some 1.2 million tonnes of palm oil certified under the new programme Round Table for Sustainable Palm Oil (RSPO) had been produced since the scheme got underway in autumn 2008 but only 320,000 tonnes had been sold, said OVID chief executive Petra Sprick.
The rest, largely produced in Malaysia and Indonesia, is in storage tanks awaiting buyers.

Trader's Highlight

DJI-NEW YORK, Dec 9 (Reuters) - U.S. stocks ended higher on Wednesday as the U.S. dollar fell and investors' appetite for risk returned, lifting shares of financial, technology and natural resource companies.

The Dow Jones industrial average <.DJI> ended up 51.08 points, or 0.50 percent, to 10,337.05. The Standard & Poor's 500 Index <.SPX> rose 3.95 points, or 0.36 percent, to 1,095.89. The Nasdaq Composite Index <.IXIC> gained 10.74 points, or 0.49 percent, to 2,183.73.

Treasury Secretary Timothy Geithner said the government would extend its $700 billion financial bailout fund to October 2010 for further efforts to fight home foreclosures and to ease credit for small businesses in the hopes of spurring job
growth.

NYMEX-NEW YORK, Dec 9 (Reuters) - U.S. crude oil futures ended at their lowest levels in two months on Wednesday, pressured by a sell-off in product futures after government data showed big increases in distillate and gasoline inventories last week.

On the New York Mercantile Exchange, January crude settled down $1.95, or 2.69 percent, at $70.67 a barrel, trading from $70.13 to $73.87. The day's low is the lowest since prices hit $69.17 on Oct. 8. The day's settlement is the lowest since Oct. 7's $69.57. NYMEX January crude has fallen $7.70, or 9.8 percent, from the $78.37 close on Dec.1.

CBOT-SOYBEANS - January down 15-1/2 cents at $10.28-1/2 per bushel. Pressure from falling crude oil and gold and from the dollar, which remained weak but was moving above the day's lows.

CBOT-SOYOIL - December down 1.21 cents at 38.90 cents per lb; January down 1.22 at 39.27 cents. Falling crude oil weighs in addition to talk Argentina was lowering its export tax on soyoil.

FCPO-JAKARTA, Dec 9 (Reuters) - Malaysian crude palm oil futures tumbled on Wednesday as investors pocketed profits from the recent rally ahead of the release of end-November stocks data, traders said.

Industry regulator Malaysian Palm Oil Board (MPOB) is due to release end-November stocks data on Thursday.

The benchmark February contract on the Bursa Malaysia Derivatives Exchange settled down 35 ringgit, or 1.4 percent, at 2,526 ringgit ($743.82) a tonne. Overall volume at 20,978 lots of 25 tonnes each was double the usual 10,000 lots.

REGIONAL EQUITIES-BANGKOK, Dec 9 (Reuters) - Major Southeast Asian stock markets hit their lowest level in a week on Wednesday, with Thailand leading the decline ahead of a holiday as investors unloaded heavyweights such as Siam Commercial Bank and Banpu.

Worries about the strength of the global recovery weighed on market sentiment across Asia, triggering broad selling in Singapore, Malaysia and Indonesia.

Singapore's index <.FTSTI> eased 0.3 percent, after falling to its lowest since Dec. 2, with bank DBS Group sliding 1.2 percent and publisher Singapore Press Holdings dropping 5.7 percent.

In Kuala Lumpur, the main index <.KLSE> fell 0.5 percent to its lowest since Nov. 30, with Malayan Banking down 1.03 percent and shipping firm MISC 1.8 percent lower.

NYMEX Crude Daily: remains in Negative

Market continue its losing streak with printed another long black candle had dampened the immediate technical landscape to turn weak. Thus, market may likely in sideways to lower move in near term. As for now, we are looking for the upside resistance at USD75.00. While, downside support is lies at USD68.00 followed by USD66.00-65.00.

CBOT Soyoil Daily: Upside move halted

Immediate daily technical landscape turns weak following prices violated support at USc39.37. Thus, market may continue to move sideways to bias downside potential if prices break further the physiological support at USc39.00. Next support will be looking at USc38.00. To the upside, resistance is pegged at USc41.40.

FCPO Daily: Consolidation phase likely to continue

Market tested the immediate support at 2520-2500 had slowing down the upside movement. Consolidation mode looks likely to continue in near term. We maintain the upside resistance at 2606 followed by 2650 levels. While, downside support is adjusted to 2500 followed by 2480-2450 levels.