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.

RTRS-Palm oil prices to moderate from 2Q10 -DBS Vickers

KUALA LUMPUR, Dec 9 - DBS Vickers on Wednesday issued a research note on Southeast Asia's plantation industry, saying it expects palm oil prices to weaken in the second-quarter next year as strong harvests are likely to drag down rival soyoil.

Trader's Highlgiht

DJI-NEW YORK, Dec 8 (Reuters) - Risk aversion swelled on Tuesday driving global stocks down as worries over Dubai's debt problems hit bank shares and the dollar rose against the euro after Fitch Ratings agency downgraded Greece's credit.

The Dow Jones industrial average <.DJI> closed down 1.00 percent, at 10,285.97. The Standard & Poor's 500 Index <.SPX> fell 1.03 percent, at 1,091.94, and the Nasdaq Composite Index <.IXIC> weakened 0.76 percent, at 2,172.99.

NYMEX-NEW YORK, Dec 8 (Reuters) - U.S. crude futures trimmed losses after industry data showed a surprise drawdown in domestic crude inventories last week.

On the New York Mercantile Exchange at 5:05 p.m. EST (2205 GMT), January crude was down 87 cents, or 1.18 percent, at $73.04 a barrel, after trading as low as $72.43 in post-settlement dealings. It had settled down $1.31, or 1.77 percent, at $72.62, trading $72.51 to $74.39 in regular floor trading hours. The intraday low was weakest since prices dropped to $72.39 on Nov. 27.

CBOT-SOYBEANS - January down 9 cents at $10.44 per bushel. Retreated from early advances, pressed by firmer dollar and declines in crude oil. Additional pressure as traders unwind long soy/short corn spreads. Early strength tied to surge in China's Dalian soy futures to a 14-month high <0#DSAF0>, plus strong U.S. export demand and forecasts for shrinking U.S. soy supplies.

CBOT-SOYOIL - December down 0.20 at 40.11 cents per lb; January down 0.18 at 40.49 cents. Pressured by falling crude oil market, but underpinned by persistent strong gains in Dalian soyoil market. <0#DBYF0>

FCPO-JAKARTA, Dec 8 (Reuters) - Malaysian crude palm oil futures closed little changed on Tuesday, giving up the day's gains of one percent gain ahead of the release of end-November stocks data, traders said.

The benchmark February contract on the Bursa Malaysia Derivatives Exchange settled up 2 ringgit, or 0.08 percent, at 2,561 ringgit ($754.79) per tonne, off the day's high of 2,590 ringgit. Overall volume was 13,138 lots of 25 tonnes each.

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

REGIONAL EQUITIES-BANGKOK, Dec 8 (Reuters) - Singapore stocks eked out small
gains on Tuesday, led by big-cap property firms such as CapitaLand, but Thai stocks extended losses due to lingering concern over the partial closure of a big industrial estate.

Major stock markets in the region, including Malaysia and Indonesia, were range-bound and turnover was low, as elsewhere in Asia.

Singapore <.FTSTI> ended 0.3 percent higher, with CapitaLand , Southeast Asia's biggest developer, adding 0.2 percent and its recently listed mall operator, CapitaMalls Asia , rising 0.8 percent.

In Kuala Lumpur, the main index <.KLSE> eased 0.3 percent to its lowest since Nov. 30, with gaming company Genting down 2.9 percent and Public Bank falling 0.2 percent.

FCPO Daily: Building up base

Market looks is entering into a consolidating mode after tested the fresh high at 2606 levels in order to build up a stronger base for a sustainable rally in near term. Thus market may continue to move sideways to higher with upside resistance is projected at 2606 followed by 2650 levels. While, downside support is lies at 2520-2500 followed by 2480-2450 levels.

FKLI Daily: Market momentum turning weak

Market momentum is turning weak despite prices struggling to survive at above 1250 physiological support levels. Thus, violation of either 1250 or 1275 may provide clearer direction to the market.

Breaking News-RTRS-UPDATE 1-China Dec soy imports seen up at 3.87 mln T -MOFCOM

BEIJING, Dec 7 (Reuters) - China's commerce ministry expects the country's soy imports in December to rebound to 3.87 million tonnes, the third largest monthly import this year.
The ministry in its latest report revised down November soy imports to 2.66 million tonnes from its earlier estimate of 2.86 million tonnes.
A delayed harvest in the United States, the world's top soybean exporter, reduced the amount of arrivals for November.
But the ministry's estimate for December was still below that of a grain think tank, which expected a record 4.8 million tonnes.

Breaking News-RTRS--China soyoil trade at record on farm policy -report

BEIJING, Dec 7 (Reuters) - Soyoil trading volumes hit a record high on China's Dalian Commodity Exchange [0#DBY:] on Monday, supported by strong demand and news from a government economic meeting, a report from the exchange said.
Rising supermarket prices for edible oil have triggered a chain reaction, pushing retailers and merchants to build up their inventories, according to the Dalian report.
COFCO, one of the four major players in China's soybean crushing sector, raised cooking oil prices by 10 to 15 percent from December 1, a COFCO official told Xinhua news agency.

Trader's Highlight

DJI-NEW YORK, Dec 7 (Reuters) - The dollar retreated from a five-week high and stocks edged lower on Monday after Federal Reserve Chairman Ben Bernanke doused speculation the Fed would raise interest rates soon, saying the economy remains fragile.

While Bernanke acknowledged the U.S. economy has improved, he said the jobless rate may remain elevated for some time. The remarks deflated market perceptions that last week's strong jobs data would lead the U.S. central bank to raise rates.

The Dow Jones industrial average <.DJI> was up 1.21 points, or 0.01 percent, at 10,390.11. The Standard & Poor's 500 Index <.SPX> was down 2.73 points, or 0.25 percent, at 1,103.25. The Nasdaq Composite Index <.IXIC> was down 4.74 points, or 0.22 percent, at 2,189.61.

NYMEX-NEW YORK, Dec 7 (Reuters) - U.S. crude oil futures fell on Monday for the fourth session in a row, to below $74 a barrel, pressured by continued concern for the economy.

Federal Reserve Chairman Ben Bernanke on Monday cautioned that, while the U.S. economy has improved, recovery remains fragile.

On the New York Mercantile Exchange, January crude settled down down $1.54, or 2.04 percent, at $73.93 a barrel, trading from $73.70 to $76.10.

CBOT-SOYBEANS - January up 10 cents per bushel at $10.53. China's big demand for soybeans and higher Dalian soy futures complex
combined to lift soybean futures in addition to outlooks for dwindling U.S. soy supplies amid brisk exports.

CBOT-SOYOIL - December up 0.55 cent per lb at 40.31. January up 0.54 at 40.67. Support from soybeans and gains in Dalian soy complex futures but gains limited by weak crude oil.

FCPO-JAKARTA, Dec 7 (Reuters) - Malaysian crude palm oil futures edged down on Monday on profit-taking, after hitting a fresh six-month high, but the fall was limited thanks to stronger rival soybean oil prices, traders said.

Investors took a cautious stance ahead of the Malaysian Palm Oil Board's (MPOB) release of November stocks data on Thursday although they were still bullish on the price outlook, traders said.

The benchmark February contract on the Bursa Malaysia Derivatives Exchange settled down 3 ringgit, or 0.1 percent, at 2,559 ringgit ($753.76) per tonne after going as high as 2,606 ringgit, a level unseen since June 5. Overall volume was 14,729 lots of 25 tonnes each.

REGIONAL EQUITIES-JAKARTA, Dec 7 (Reuters) - Southeast Asian stocks ended mixed
on Monday, with Indonesia's key index <.JKSE> down 1.1 percent, led by mining and financial stocks, while Vietnam <.VNI> rose 0.7 percent.

Singapore's index <.FTSTI> inched up 0.2 percent, while Malaysia <.KLSE> eased 0.38 percent and the Philippines <.PSI> lost 0.5 percent. The market in Thailand <.SETI> was closed on Monday for a holiday.

Commodity trading firm Noble Group and Southeast Asia's biggest property developer CapitaLand buoyed the Singapore stock market, with gains of 1.62 percent and 1.22 percent respectively.

In Kuala Lumpur, the second-largest mobile phone provider Axiata Group Bhd eased 1.3 percent, while gaming firm Genting Bhd rose 1.1 percent.

FCPO Daily: remains in Positive mode

Market shies away after tested the 2600 levels. Immediate technical landscape maintain in positive mode, thus market may continue to move sideways to higher in near term. Upside resistance will be looking at 2650 levels. While, downside support is lies at 2480-2450 followed by 2428-2419 (left over gap on 23/11/2009).

FKLI Daily: Looks tiredness

Market looks tiredness as prices continue to struggle at above 1250 physiological support levels. We are still looking for the immediate support at 1250 levels. Violation of it may provide more room to bias downside potential which next support will be pegged at 1230 followed by 1200 levels. To the upside, immediate resistance is at 1275 followed by 1286.

Trader's Highlight

DJI-NEW YORK, Dec 4 (Reuters) - The U.S. dollar jumped and global stocks soared on Friday after data showing the United States shed far fewer jobs last month than expected boosted hopes the U.S. economy is taking solid steps forward.

But the surprisingly strong report on the U.S. labor market stoked speculation the Federal Reserve may move to raise interest rates from record lows sooner than initially thought.

The Dow Jones industrial average <.DJI> rose 22.75 points, or 0.22 percent, at 10,388.90. The Standard & Poor's 500 Index <.SPX> gained 6.06 points, or 0.55 percent, at 1,105.98. The Nasdaq Composite Index <.IXIC> added 21.21 points, or 0.98 percent, at 2,194.35.

NYMEX-NEW YORK, Dec 4 (Reuters) - U.S. crude futures ended below $76 on Friday, in a commodities sell-off sparked by a surge in the dollar, which overshadowed data showing a decline in the U.S. unemployment rate.

On the New York Mercantile Exchange, January crude settled down 99 cents, or 1.29 percent, at $75.47 a barrel, trading from $74.85 to $77.90. From a week ago, the contract fell 58 cents, or 0.76 percent.

At the close, the discount for NYMEX January crude against February crude was $1.78, edging up from $1.75 on Thursday. It widened as much as $2.45 in the session, the steepest since Aug. 19.

CBOT-SOYBEANS - January down 4 cents at $10.43 a bushel. Weighed down by firm dollar despite persistent strong export and domestic demand for U.S. soy. Prices turned lower as crude oil turned down.

CBOT-SOYOIL - December up 0.01 cent at 39.76 cents per lb, January up 0.01 cent at 40.13 cents. Support from some unwinding of meal/oil spreads.

FCPO-KUALA LUMPUR, Dec 4 (Reuters) - Malaysian crude palm oil futures rose as much as 4.8 percent on Friday to hit a six-month high on forecasts that palm oil may climb above 3,000 ringgit next year.

Palm oil prices shot up in the second trading session of the day but have since pulled back on concerns of higher stocks last month and slower exports in December.

The benchmark February contract on the Bursa Malaysia Derivatives Exchange rose as much as 118 ringgit to 2,596 ringgit ($768.3), a level unseen since June 5. The contract then settled at 2,562 ringgit.

Trade volumes more than doubled to 22,897 lots of 25 tonnes each due to an inflow of funds, traders said.

REGIONAL EQUITIES-BANGKOK, Dec 4 (Reuters) - Southeast Asian stocks mostly fell
on Friday, with Singapore snapping a three-day winning streak and Thai stocks sagging as energy and industrial counters PTT and Siam Cement continued to suffer from an adverse court ruling.

Singapore's benchmark stock index <.FTSTI> edged down 0.6 percent after rising 0.4 percent on Thursday, Malaysia <.KLSE> fell 0.2 percent and Thailand <.SETI> lost 0.7 percent, erasing some of its 1.9 percent rally a day earlier.

A fall in Malaysian builder Gamuda , down 2.2 percent, capped gains in Kuala Lumpur.

NYMEX Crude Weekly: Losing ground

Market continue to lose ground following the violation of the immediate support at USD75.00. Thus, market may move sideways to lower in near term. As for now, we are looking for the upside resistance at USD82.00. While, underline support will be pegged at USD72.00.

FCPO Weekly: Likely to move higher in near term

Market violated the recent high at 2521 levels convincingly and close off the high for the week had strengthen further the immediate technical landscape. Thus, market likely to continue to move higher in near term with upside resistance is now looking at 2600-2650 followed by 2800 levels. While, downside support is adjusted to 2428-2419 (left over gap on 29/11/2009).

DJI Weekly: Holding well

Immediate technical landscape remains positive following prices tested the upside resistance at 10,500 but not closing. Thus, we continue to look for the upside resistance at 10,500-10,800. To the downside, support is remains at 10,000.

FKLI Weekly: Struggling to survive at above 1250 levels

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

Breaking News-RTRS-Malaysia palm oil price may hit 3,000 ringgit in Q1-Mistry

NUSA DUA, Indonesia, Dec 4 (Reuters) - Malaysian palm oil prices may rise up to 21 percent by the first quarter of 2010 from their current levels on strong demand and as hotter weather hits yields, a top industry analyst said on Friday.
Dorab Mistry, head of vegetable oils trading at Godrej International, raised his forecast for the first three months to 2,800-3,000 ringgit ($830.36-$889.67) a tonne from an earlier estimate of 2,400 ringgit.
"I expect palm oil prices to rise at the fastest pace in relation to all other vegetable oils," Mistry told the Indonesian Palm Oil Conference and Price Outlook 2010 meeting in Bali.

Breaking News-RTRS-Palm seen at 3,200 rgt/T by June on $85/bbl crude-Fry

NUSA DUA, Indonesia, Dec 4 (Reuters) - Malaysian palm oil prices are expected to rise to 3,200 ringgit per tonne by June if Brent crude oil stands at $85 a barrel and palm oil stocks in the world's number 2 producer fall to 1.25 million tonnes, James Fry, chairman of commodities consultancy LMC International, said on Friday.

Breaking News-RTRS-Goldman Sachs raises CBOT grain, soy forecasts

LONDON, Dec 3 (Reuters) - Goldman Sachs on Thursday raised its three and six-month forecasts for CBOT soybeans to $10.50 a bushel from a previous projection of $10.00.
The investment bank, issuing its 2010 Commodities price forecasts, also increased its 12-month forecast for CBOT soybeans to $11.00 a bushel from $10.00.
Goldman left unchanged its three-month forecast for CBOT corn and wheat but raised six-month forecasts to $4.50 and $5.50 a bushel respectively, up from previous projections of $4.00 and $5.00.
A further rise to $4.75 for corn and $6.00 for wheat was seen in the 12-month outlook.

Trader's Highlight

DJI-NEW YORK, Dec 3 (Reuters) - U.S. stocks fell on Thursday after data showed the vast U.S. services sector unexpectedly shrank in November and investors worried that Friday's non-farm payrolls report may show the recovery is sluggish.

The Dow Jones industrial average <.DJI> dropped 86.53 points, or 0.83 percent, to end at 10,366.15. The Standard & Poor's 500 Index <.SPX> slipped 9.32 points, or 0.84 percent, to close at 1,099.92. The Nasdaq Composite Index <.IXIC> fell 11.89 points, or 0.54 percent, to finish at 2,173.14.

NYMEX-NEW YORK, Dec 3 (Reuters) - U.S. crude futures ended lower in seesaw trading on Thursday amid economic worries, after a report showed that the services sector weakened in November. Traders were cautious ahead of Friday's unemployment report
for November and as crude futures remained pressured by Wednesday's government data showing domestic crude inventories rose more than expected last week.

On the New York Mercantile Exchange, January crude settled down 14 cents, or 0.18 percent, at $76.46 a barrel, trading from $75.54 to $77.50. At the close, the discount for NYMEX January crude against February crude was $1.75, after widening on Wednesday as much as $1.93, the steepest since Aug. 19.

CBOT-SOYBEANS - January up 13 cents per bushel at $10.47. Strong demand for U.S. soy including brisk exports giving soybean futures support but market on edge amid choppy two-sided trading in the dollar and crude oil.

CBOT-SOYOIL - December unchanged at 39.75.

FCPO-KUALA LUMPUR, Dec 3 (Reuters) - Malaysian crude palm oil futures edged 0.4 percent lower on Thursday after an industry analyst said the recent rally was overdone and did not reflect rising stock levels.

The benchmark February contract on the Bursa Malaysia Derivatives Exchange settled down 11 ringgit at 2,478 ringgit ($734.4) a tonne, after falling as low as 2,463 ringgit earlier in the session.

REGIONAL EQUITIES-BANGKOK, Dec 3 (Reuters) - Southeast Asian stock markets
mostly rose on Thursday, with Singapore hitting a 16-month high and Thai stocks rallying after a slump the previous day caused by a court ruling that hurt heavyweight PTT and others.

Singapore's benchmark stock index <.FTSTI> ended up 0.42 percent at its highest since August 2008, while Malaysia's main index <.KLSE> closed up 0.09 percent, having hit a one-week high during the day.

A rise in Malaysia's second-largest lender, CIMB Group , helped limit falls in the Kuala Lumpur market. The stock rose 0.93 percent after Moody's Investors Service said it had changed the outlook on CIMB Bank's Financial Strength Rating
to positive from stable.

CBOT Soyoil Daily: remains Positive

Immediate daily technical landscape remains positive despite prices eased off after tested the high at USc41.40. As for now, we continue to look for the immediate upside resistance at USc42.23-USc42.48 (gap left over on 6/10/2009). Immediate downside support is adjusted to USc39.37-39.00.