Trader's Highlight

DJI-NEW YORK, Dec 24 (Reuters) - U.S. stocks rallied in a brief pre-holiday session on Thursday, closing at 2009 highs, after data showing a drop in initial jobless claims and growth in durable goods orders suggested an economic recovery was
picking up steam.

NYMEX-NEW YORK, Dec 24 (Reuters) - U.S. crude oil futures rose on Thursday, ending above $78 a barrel on optimism about economic recovery that pushed equities higher, a weaker dollar and momentum from the previous day's rise after inventory reports
showed oil stockpiles fell last week.

U.S. stocks rallied after data showing a drop in initial jobless claims and growth in durable goods orders suggested an economic recovery was picking up steam.

On the New York Mercantile Exchange, February crude rose $1.38, or 1.8 percent, to settle at $78.05 a barrel, trading from $76.19 to $78.25.

CBOT-CHICAGO, Dec 24 (Reuters) - Chicago Board of Trade grains and soy complex closing trends on Thursday.

CBOT-SOYBEANS - January down 1-3/4 cents at $9.99-1/2 a bushel. Expectations for large supplies from South America pressure market in thin trade but market underpinned by good export data.

CBOT-SOYOIL - January up 0.38 cent at 38.46 cents per lb. Rallying crude oil market provides strength to soyoil.

FCPO-KUALA LUMPUR, Dec 24 (Reuters) - Malaysian crude palm oil futures jumped 2.2 percent on Thursday, after three consecutive days of declines, as higher crude oil prices and a weaker U.S. dollar lifted the market.

The benchmark March contract on the Bursa Malaysia Derivatives Exchange settled up 54 ringgit to 2,554 ringgit ($745) per tonne after going as high as 2,573 ringgit.

REGIONAL EQUITIES- BANGKOK, Dec 24 (Reuters) - Southeast Asian stock markets ended mixed on Thursday in a listless holiday-trading session, with Singapore falling back from a more than one-year high and Thailand easing off from its highest in two months.

Singapore's benchmark Straits Times Index <.FTSTI> edged down 0.14 percent after a two-day rise, weighed down by casino operator Genting Singapore and shopping mall operator CapitaMalls , which each dropped almost 1 percent.

Malaysia's index <.KLSE> was up 0.3 percent, led by a 2.1 percent surge in industrial gas provider Petronas Gas and a 3.6 percent climb in pay-TV operator Astro All Asia Networks.

NYMEX Crude Weekly: Sideways bias

Market continue to gain some ground to stay firm above USD70.00. Thus, market is likely to move sideways bias to trade in between USD82.00 to USD68.00 in near term. Violation of either one may give us more clearer direction.

CBOT Soyoil Weekly: Nothing much changes

Nothing much changes as immediate technical landscape remains in consolidation mode. Thus, we continue to look for the upside resistance at USc41.40 and downside support is lies at USc37.00-36.50.

FCPO Weekly: Looking good

Market looks has found its immediate base support at around 2480 levels after defended well for straight three weeks. We maintain our view to move sideways to bias upside potential in near term with upside resistance looking at 2628 followed by 2650. While, downside support is pegged at 2480 followed by 2428-2419 (left over gap on 29/11/2009).

Breaking News-RTRS-UPDATE 1-China sees Dec soy imports 4.58 mln T, 2nd largest

BEIJING, Dec 23 (Reuters) - China's commerce ministry has
revised up its forecast for soy imports in December to 4.58
million tonnes, the second largest monthly import ever, from its
earlier estimate of 3.87 million tonnes.
The ministry's forecast was below expectations of the
country's top planning body, the National Development and Reform
Commission (NDRC), which sees record imports for December, or
larger than the 4.71 million tonnes in June, the highest ever
monthly import.

Trader's Highlight

DJI- NEW YORK, Dec 23 (Reuters) - The dollar halted a six-day rally and global stocks lost steam on Wednesday after an unexpected fall in U.S. new home sales curbed optimism about the economic recovery.

Oil prices jumped 3 percent, supporting energy shares, as data showed a much larger-than-expected decline in inventory of crude oil. The weaker dollar also boosted commodity prices in general, sending gold as much as 1 percent higher. A weaker dollar makes commodities cheaper for investors using other currencies.

The Dow Jones industrial average <.DJI> edged up 1.51 points, or 0.01 percent, to 10,466.44, while The Standard & Poor's 500 Index <.SPX> rose 2.57 points, or 0.23 percent, to 1,120.59. The Nasdaq Composite Index <.IXIC> ended up 16.97 points, or 0.75 percent, to 2,269.64.

NYMEX- NEW YORK, Dec 23 (Reuters) - U.S. crude oil futures ended 3 percent higher on Wednesday, boosted by government inventory data showing crude stocks fell more than expected last week and the dollar's slump.

Crude oil reached $77 a barrel intraday for the first time since Dec. 4, when it hit $77.90. The contract has gained about $7 since Dec. 14 when it hit a nearly 2-1/2-month low, dropping intraday to $68.59.

On the New York Mercantile Exchange, February crude rose $2.27, or 3.05 percent, to settle at $76.67 a barrel, trading from $74.25 to $77.00.

CBOT- SOYBEANS - January up 10-1/4 cents at $10.01-/4 a bushel. Market snaps four-day losing streak in rebound from decline to lowest level since Nov. 13. Better-than-expected soybean crush data adds strength as well as rallying crude oil prices.

CBOT-SOYOIL - January up 0.03 cent at 38.08 cents per lb. Spillover support from rally in crude oil market boosts prices while report of large soyoil stocks weighs on market.

FCPO- KUALA LUMPUR, Dec 23 (Reuters) - Malaysian crude palm oil futures dropped for a third day on Wednesday due to a firmer U.S. dollar and some position squaring towards the year end.

Expectations of a stock drawdown due to the end of the high production season limited losses. Traders expect stocks to fall about 13 percent to 1.68 million tonnes in December compared with the previous month.

The benchmark March contract on the Bursa Malaysia Derivatives Exchange settled down 21 ringgit at 2,494 ringgit per ($725.8) tonne.

REGIONAL EQUITIES- BANGKOK, Dec 23 (Reuters) - Southeast Asian stock markets gained on Wednesday, with Noble Group leading Singapore to its highest in over a year while Thailand hovered around two month highs as investors bought big caps such as PTT and Siam Cement.

Singapore's index <.FTSTI> rose 0.6 percent to its highest since Aug. 11, 2008, with commodities firm Noble Group climbing 4.3 percent after Australia's Macarthur Coal made an offer to buy Noble unit Gloucester Coal in an all-share deal worth $591.3 million.

Malaysia's index <.KLSE> was nearly flat, edging up 0.01 percent, with palm plantation firms leading advancers. IOI Corp and Sime Darby each gained 0.6 percent.

FCPO Daily: 2500 levels defended

Market defended 2500 levels at the closing after tested the intra-day low at 2482. However, immediate daily technical outlook has losing its upward strength and looks may consolidate further in near term. For now, we are looking for the immediate downside support at 2480 followed by 2460-2445. To the upside, resistance is pegged at 2540-2550 followed by 2585-2598 (gap left over on 21/12/2009.

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.