Trader's Highlight

DJI- NEW YORK, July 9 (Reuters) - U.S. stocks slipped in light trading on Monday, weighed down by weak economic data from Asia and signs of economic trouble in Europe, underscored by higher Spanish and Italian bond yields.

Monday's decline, the third in a row for the S&P 500 index, comes as quarterly earnings reports get under way. Investors are anxious to see what impact weak demand in Europe and slowing growth in Asia have had on corporate America.

"We think 2Q earnings for the S&P 500 will be OK this quarter ... we're calling for a small 2 percent beat. That said, we expect the tone of earnings season to be quite negative," said Jonathan Golub, chief strategist at UBS in New York.

Stocks pared losses late in the session, leaving indexes with just slight losses.

The Dow Jones industrial average .DJI ended down 36.18 points, or 0.28 percent, at 12,736.29. The Standard & Poor's 500 Index .SPX was down 2.22 points, or 0.16 percent, at 1,352.46. The Nasdaq Composite Index .IXIC was down 5.56 points, or 0.19 percent, at 2,931.77.

Volume was among the lightest of the year. About 5.1 billion shares changed hands on the New York Stock Exchange, the Nasdaq and Amex, compared with the year-to-date daily average of 6.85 billion shares.

Italian borrowing costs continued to rise on Monday while Spanish 10-year yields rose above 7 percent. That level is seen as unsustainable in the longer-term and reflecting doubts over how measures agreed last month to stem the euro zone debt crisis will be implemented.

In economic news, machinery orders in Japan fell at a record pace in May, while inflation in China eased to a 29-month low, suggesting falling demand from Europe and the United States for exports. (nL3E8I90CZ) (nL6E8I900D)

The overseas data comes on the heels of Friday's disappointing U.S. jobs report, which showed non-farm payrolls grew by only 80,000 in June. (nL2E8I56V0)

From a technical standpoint, the S&P 500 remains about 10 points above the 1,342 support level and the 50-day moving average at 1,340, said Randy Frederick, managing director of active trading & derivatives at Charles Schwab.

NYMEX- NEW YORK, July 9 (Reuters) - U.S. crude oil futures ended almost 2 percent higher Monday on fears that Norwegian production faced a complete shutdown after labor talks failed, said traders who also cited hopes that China will act to ease monetary policy to support its economy.

NYMEX crude for August delivery CLQ2 settled at $85.99 a barrel, gaining $1.54, or 1.82 percent, after trading from $84.00 to $86.48.

CBOT SOYBEAN- Spot soybean futures on the Chicago Board of Trade set an all-time high and ended up nearly 3 percent on fears that continued dry weather in the U.S. Midwest would reduce yields, traders said.

* Front-month July soybeans Sc1 reached $16.79-1/2, the all-time highest spot soybean price on continuous charts, before paring gains, while nearly all other months set contract highs.

• Spot soymeal futures SMc1 set an all-time high at $490 a ton, with contract highs set in most back months.

• Sizzling temperatures abated in the U.S. Midwest over the weekend but light, scattered rains this week were expected to miss the areas that need it most - threatening continued stress to crops. (nL2E8I97A6)

• Traders expect USDA in its weekly crop progress report later on Monday to lower weekly soybean ratings to 40 percent good-to-excellent, from 45 percent the previous week. (nL2E8I93SK)

• CBOT reported no July deliveries of soybeans or soymeal; soyoil deliveries totaled 1,270 contracts, with no strong commercial stoppers.

• USDA reported export inspections of U.S. soybeans at 18.906 million bushels, above trade estimates for 10 million to 14 million.

• Trade expects USDA's July 11 supply/demand report to show a slight decline in U.S. 2011/12 soybean ending stocks but little change in 2012/13 ending stocks. (nL2E8I6ESK)

FCPO- KUALA LUMPUR, July 9 (Reuters) - Malaysian crude palm oil futures rose on Monday on worries that unfavourable weather, from the United States to India, could crimp oilseed production and tighten global supply of cooking oil during a peak season for Asian demand.

A shortfall in India's monsoon rains is the latest weather concern to hit edible oil markets as summer-sown crops such as soybeans will be affected, forcing the world's largest importer of edible oil to buy more alternative palm oil. (nL3E8I53EV)

Palm oil, which has lost 0.5 percent so far this year, is also now rising due to the drought in the United States, which is hurting soybean yields.

"Palm oil is taking a free ride. It will take more of the market from soybean oil, especially during the festival season on the Asian side," said a trader with a foreign commodities brokerage.

Benchmark September palm oil futures FCPOc3 on the Bursa Malaysia Derivatives Exchange ended the day up 0.7 percent or 23 ringgit at 3,153 ringgit ($990) per tonne.

Traded volumes stood at 18,615 lots of 25 tonnes each, lower than the usual 25,000 lots.

Technicals, however appeared negative. Reuters analyst Wang Tao said the tropical oil would revisit a July 5 low of 3,095 ringgit, as it had completed a rebound from the June 14 low of 2,838 ringgit. (nL3E8I9105)

Traders are expecting on Tuesday a slew of Malaysian export data for the first ten days of July which could show strong festival demand for the edible oil.

The Asian festival season starts with the Muslim observance of Ramadan, which begins around July 20, where a month of fasting in the day is followed by feasts in the evening.

The market is also on the lookout for industry regulator Malaysian Palm Oil Board's June palm oil stocks that will show a 14-month low because of strong demand chasing modest production growth.

Some analysts are on the watch for a brewing El Nino weather condition, which brings drought to palm oil producing Southeast Asia. Malaysia-based OSK Investment Bank raised its 2013 average price assumption for palm oil to 3,500 ringgit from 3,100 ringgit to factor in the weather anomaly.

REGIONAL EQUITY- BANGKOK, July 9 (Reuters) - Southeast Asian stock indexes fell in light volume on Monday, led down by energy linked stocks and index heavyweights, as weak job figures in the United States and cooling inflation in China kept investors on the sidelines.

Singapore's Straits Times Index .FTSI dropped 1.7 percent, its biggest one-day drop since June 5, and after eight consecutive sessions of gains.

The Philippine index .PSI also notched its biggest daily loss in five weeks, falling 1.8 percent and pushing further away from a record closing high of 5,369.98 set on July 5.

RTRS-Informa lowers U.S. corn, soy yield estimates

July 6 (Reuters) - Private analytical firm Informa Economics lowered its estimate for the U.S. 2012 corn yield to 153.5 bushels per acre from its previous figure of 154.9 in late June, the firm said on Friday in a note to clients.

It calculated U.S. corn production at 13.641 billion bushels, compared with its June 29 estimate of 13.76 billion.

U.S. corn and soybean crops have been hurt by hot, dry weather this summer, USDA and analysts have said.

Informa officials had no comment on the figures but in a copy of the note obtained by Reuters, the firm noted above-normal temperatures in June and well below-normal rainfall totals.

"July state yield forecasts were reduced in nearly 20 states from Informa's early season trend with Kansas reduced the most, down 30 bushels," Informa's note said.

The firm's corn estimates were below the U.S. Department of Agriculture's current forecasts for a crop of 14.790 billion bushels based on a record-high yield of 166 bushels per acre.

USDA revised its 2012 U.S. acreage estimates last week and the government was scheduled to issue updated crop production and yield estimates on July 11.

Informa lowered its estimate of the U.S. 2012 soybean yield to 42.0 bushels per acre, from its previous estimate of 42.7. It estimated soybean production at 3.161 billion bushels, compared with its June 29 estimate of 3.21 billion.

USDA currently projects the soybean crop at 3.205 billion bushels based on an average yield of 43.9 bushels per acre.

"Informa lowered its (soybean) yield forecast for several states due to this season's below-average start," the firm said.

"Conditions have been notably dry and warm in the Eastern Corn Belt as well as the southern part of the Western Corn Belt. The Mid-South also has been dry and warm, stressing soybeans especially in Tennessee," the firm said.

RTRS- Malaysia's June palm stocks seen at 14-month low

SINGAPORE, July 6 (Reuters) - Malaysia's palm oil stocks likely dropped to a 14-month low in June, as exports and local demand offset a rise in production, a Reuters median survey showed on Friday.

Stocks in the world's No.2 producer of the vegetable oil probably fell 2.2 percent to 1.73 million tonnes, the lowest since April 2011, the survey of six plantation houses showed, potentially supporting benchmark palm oil futures.

Malaysia most likely exported 1.46 million tonnes of the tropical oil in June, up 4.3 percent from a month ago and the highest this year so far as the Asian festival season begins with the Muslim holy month of Ramadan where fasting in the day is followed by feasts at night.

India, Pakistan and the Middle East were seen stocking up ahead of the fasting month Ramadan that begins in the third week of July.

Ramadan ends with Eid al-Fitr celebrations in August and is followed soon after by China's Mid-Autumn festival in September and India's Hindu festival of Diwali in November, boosting exports in the months to come.

When combining Malaysia's exports to domestic consumption of 170,120 tonnes in June, overall demand trumped total output that probably grew 7.7 percent from May to 1.49 million tonnes.

Production improved on a favourable crop weather but is still way below 1.75 million tonnes last year, keeping stocks low, said one of the survey respondents.

Imports of crude palm oil from top producer Indonesia were expected to reach 100,000 tonnes from previous month's 40,690 tonnes, as refiners expect strong demand in coming weeks.

FACTORS TO WATCH:


Exports most likely are going to rise in July , as hot and dry weather in the U.S. Midwest that squeezed global oilseed supplies is expected to shift more demand to the cheaper palm oil.

A slew of festivals beginning with Ramadan may boost exports and weigh on stocks, unless production picks up and makes up for the shortfall.

But planters will be watching out for El Nino, which brings hot and dry weather to Southeast Asia that could sap oil palm yields at a time when demand is on the rise.

Indonesia lowered its refined palm oil tax to 7 percent in July from a month ago, and is expected to capture a larger share of the increased demand for the edible oil.

The top producer's crude palm oil exports might grow thanks to a lower tax rate at 15 percent in July, which will attract orders from Malaysia that faces a shortage in supply.
MARKET REACTION:

The benchmark third-month palm oil futures FCPOc3 contract on the Bursa Malaysia Derivatives Exchange hit its lowest in 2012 in June at 2,839 ringgit ($898), as the euro zone debt crisis triggered a flight of capital from riskier assets.

Futures have been steadily recovering since on expectations that persistent dry and hot weather in U.S. Midwest soy crops will shift demand to palm oil.

Trader's Highlight

DJI- NEW YORK, July 6 (Reuters) - Stocks fell, the euro hit a two-year low against the dollar and oil slumped more than 3 percent on Friday after disappointing U.S. jobs growth reinforced worries the American economy was mired in a slow-growth rut.

The U.S. Labor Department reported that employers created only 80,000 jobs in June, far fewer than needed to bring down the 8.2 percent unemployment rate and adding to evidence that Europe's debt crisis was weighing on global growth. (nL2E8I56V0)

Although the jobs creation was weaker than expected, many investors said it was not bad enough to spur the Federal Reserve to launch a third round of quantitative easing.

"This isn't disappointing enough for QE3, but it suggests an extended period of sluggish growth and limited improvement on the jobs front," said Eric Teal, who helps oversee $4.5 billion as chief investment officer at First Citizens Bancshares Inc in Raleigh, North Carolina.

Though Fed action might cheer some investors, many doubt the ability of central banks to lift the economic gloom. More than two-thirds of companies traded on both the New York Stock Exchange and Nasdaq fell.

Commodities prices tumbled as the jobs data fueled worries about the global economy and the demand for raw materials. In addition to the slump in oil prices, copper lost 2 percent and gold 1 percent, pushing the 19-commodity Thomson Reuters CRB index .CRB to its worst performance since Dec. 15.

U.S. and German government bond prices jumped as investors sought safe havens.

The U.S. jobs data came a day after the European Central Bank cut interest rates, further dampening the euro's appeal, and China and the Bank of England announced more monetary easing.

With U.S. interest rates already near zero the loosening of monetary policy in Europe and China diminishes the relative interest rate advantages held over the greenback.

The euro EUR= fell 1 percent to a two-year low of $1.2264 before rebounding to $1.2296, off 0.77 percent. The dollar rose to a 1-1/2-year high against the Swiss franc.

"Politically and economically, it is not the environment for the euro to rally. ... In a week or a month's time, it can easily get back down towards below $1.2280 and maybe even head towards $1.20," said Kathleen Brooks, research director at FOREX.com in London.

At the close on Wall Street, the Dow Jones industrial average .DJI was down 124.20 points, or 0.96 percent, at 12,772.47. The Standard & Poor's 500 Index .SPX was down 12.90 points, or 0.94 percent, at 1,354.68. The Nasdaq Composite Index .IXIC was down 38.79 points, or 1.30 percent, at 2,937.33.

The jobs report followed other bleak news earlier this week that U.S. manufacturing shrank in June and service sector growth slowed to its lowest level since January 2010.

European shares posted their worst one-day fall in around two weeks, with the FTSEurofirst 300 index .FTEU3 closing down 1 percent at 1,033.77 points. World stocks .MIWD00000PUS ended down 1 percent.

Spanish borrowing costs rose back above the 7 percent danger level on Friday as the impact from last week's European Union summit faded and the ECB's rate cut on Thursday did little to restore investor appetite for riskier assets.

NYMEX- NEW YORK, July 6 (Reuters) - U.S. crude oil futures tumbled on Friday, ending more than 3 percent lower as data showed disappointing jobs data for June that prompted deeper worries about the stalling economic recovery.

 

CBOT SOYBEAN-Soybean futures on the Chicago Board of Trade fell on Friday as disappointing U.S. payrolls data and expectations of cooler temperatures in the U.S. Midwest prompted traders to book profits after a four-day rally.

• The euro fell to a two-year low against the U.S. dollar after data showed U.S. employers hired at a dismal pace in June, stoking strong risk aversion and a flight to safe havens. USD/

• Most-active November soybeans SX2 fell about 1.2 percent, the contract's largest decline in two weeks.

• Spot soybeans Sc1 nonetheless ended the week up 7 percent, the third straight weekly rise on continuous charts and the biggest since mid-October, lifted by fears of deteriorating yields amid a scorching heat wave in the Midwest.

• Spot soymeal SMc1 rose to $476 a ton, the highest spot price on record, before settling lower.

• The Midwest crop belt endured another day of excessive heat Friday that will persist in southern areas on Saturday, but a cold front should usher in more seasonal temperatures by Sunday, easing stress on crops. (nL2E8I6ANA)

• Informa Economics lowered its estimate of the U.S. 2012 soybean yield to 42.0 bushels per acre, from its previous estimate of 42.7, citing warm, dry weather. Informa estimated soybean production at 3.161 billion bushels, compared with its June 29 estimate of 3.21 billion. (nL2E8I692N)

• USDA confirmed sales of 120,000 tonnes of U.S. soybeans to China for 2011/12 delivery. (nL2E8I639W)

• USDA reported export sales of U.S. soybeans in the week to June 28 at 1.763 million tonnes (old and new crop years combined), above trade expectations for 400,000 to 650,000 tonnes.

• USDA reported weekly export sales of U.S. soymeal at 177,800 tonnes (old and new crop years combined) and soyoil sales at 6,800 tonnes, within trade estimates.

FCPO- SINGAPORE, July 6 (Reuters) - Malaysian crude palm oil futures eased from a fresh five-week high on Friday as some traders booked profits from an overbought market, although expectations of strong demand curbed losses.

Palm oil posted a 3.6 percent gain this week, thanks to the hot and dry weather in the U.S. that has damaged soybean crops.

The prospects of limited soyoil supply could shift demand to palm oil that has been the target of last-minute buying ahead of the Muslim fasting month of Ramadan starting in end-July.

"The uptrend is definitely still intact with traders speculating on the adverse weather and generally lower end-stock," said a dealer with a foreign commodities brokerage in Malaysia.

Benchmark September palm oil futures FCPOc3 on the Bursa Malaysia Derivatives Exchange lost 1.1 percent to close at 3,133 ringgit ($988) per tonne. Prices earlier touched a high of 3,183 ringgit, a level unseen since May 29.

Traded volumes stood at 26,272 lots of 25 tonnes each, slightly higher than the usual 25,000 lots.

On the technicals front, palm oil is expected to end the current rebound around resistance at 3,193 ringgit, said Reuters market analyst Wang Tao. (nL3E8I60OY)

The market is on the lookout for a slew of data to be released next week to gauge the demand and supply trend for palm oil.

Cargo surveyors Intertek Testing Services and Societe Generale de Surveillance will issue Malaysia's exports data for the first 10 days of July on Tuesday. Industry regulator Malaysian Palm Oil Board (MPOB) will issue official data on stocks and output for June on the same day.

Exports rose in June to close to 1.45 million tonnes, the highest so far this year, riding on higher demand from India, Pakistan and the Middle East.

Higher exports and domestic demand could pile further pressure on Malaysia's stocks, which most probably dropped to a 14-month low in June, according to a Reuters median survey. (nL3E8I5373)

REGIONAL EQUITY- BANGKOK, July 6 (Reuters) - Singapore stocks edged up on Friday, posting their biggest weekly gain since December, as China's rate cut boosted hopes on earnings of companies with exposure to the mainland while investors in the region were cautious ahead of U.S. jobs data.

The Singapore index rose for the eighth straight session.

Singapore's Straits Times Index .FTSTI rose 0.24 percent, lifted by a 2.8 percent gain in property developer CapitaLand Ltd CATL.SI and a 6.4 percent rise in Yanlord Land Group Ltd YNLG.SI amid strong trading volume.

The Straits Times index gained 3.5 percent this week, the best performer in Southeast Asia. Jakarta's Composite Index .JKSE racked up a 2.5 percent gain on the week, the second best and its best weekly rise since March.

Indonesia appeared attracting more foreign buying interest than regional peers, with $163 million net inflows in the week to Thursday against $115 million in inflows of the Philippines, Thailand's $21 million inflows and Vietnam's $1.8 million.

RTRS- Indonesia palm oil shipments hampered by dry weather

JAKARTA, June 28 (Reuters) - Crude palm oil shipments from the world's top producer Indonesia are being hit by dry weather conditions, with falling water levels on a river hampering transportation of the edible oil from West Kalimantan, an industry official said on Thursday.

Shipments from West Kalimantan province had been halved from the usual 100,000 tonnes per month, Steaven Halim, an official at the Indonesian Palm Oil Association (GAPKI) told Reuters.

Palm analysts said the transportation issues would have little impact on prices and supplies, but that it was worth keeping a close eye on the situation as it develops.

"Crude pal oil transportation has been affected by low water levels on the Kapuas river," Halim said. "The dry season has caused the level of the river to drop and several areas of the river cannot be passed by ships carrying crude palm oil."

He added that transferring the crude palm oil to trucks was expensive and problematic because of a shortage of vehicles.

Data on Indonesia from GAPKI showed that January to May palm exports totalled 7.37 million tonnes, with May shipments 7 percent lower versus April at 1.4 million tonnes.

This year total palm oil output from Southeast Asia's largest economy is expected to be between 23 million and 25 million tonnes, up at least 7 percent, according to industry estimates.

According to Rabobank, 78 percent of Indonesian palm oil production comes from Sumatra, with Kalimantan output accounting for 18 percent.

Trader's Highlight

DJI- NEW YORK, June 28 (Reuters) - U.S. stocks fell on Thursday but pared back sharp losses late in the session on talk of progress by European leaders in easing the region's debt crisis, while a Supreme Court ruling upholding a landmark healthcare law hit large health insurers.

Markets are especially skittish about any shift in expectations for the euro zone as European Union leaders met on the first day of a two-day summit in Brussels.

"This is a process that is just going to wind on and is going to bring us periodic bouts of volatility in our markets depending on the news flow," said Matt Kaufler, portfolio manager at Federated Investors in Rochester, New York.

Stocks began lower and losses accelerated after a divided U.S. Supreme Court backed the centerpiece of President Barack Obama's healthcare overhaul law.

The Dow Jones industrial average <.DJI> dropped 24.75 points, or 0.20 percent, to 12,602.26. The Standard & Poor's 500 Index <.SPX> shed 2.81 points, or 0.21 percent, to 1,329.04. The Nasdaq Composite Index <.IXIC> lost 25.83 points, or 0.90 percent, to 2,849.49.

NYMEX-NEW YORK, June 28 (Reuters) - U.S. crude futures slumped more than 3 percent on Thursday, sliding to an eight-month low intraday on selling prompted by concerns about Europe's debt crisis amid a European Union summit and by losses on Wall Street.

CBOT SOYBEAN- Soybean futures on the Chicago Board of Trade ended lower after a choppy session, pressured by long liquidation and positioning a day ahead of the U.S. Department of Agriculture's acreage and quarterly stocks reports, traders said.

Trade expects USDA on Friday to raise its estimate of U.S. 2012 soybean acreage. The average estimate for U.S. soybean plantings among 19 analysts surveyed by Reuters was 75.5 million acres, up from USDA's March projection of 73.9 million.

Funds hold a large net long position in CBOT soybeans, leaving the market vulnerable to bouts of long liquidation.

Trade expects no deliveries of soybeans or soymeal on Friday, which is first notice day for CBOT July deliveries.

Trade estimated soy deliveries at 1,500 to 5,000 contracts.

USDA confirmed sales of 110,000 tonnes of U.S. soybeans to unknown destinations for 2012/13 delivery.

USDA reported export sales of U.S. soybeans in the latest week at 793,100 tonnes (old and new crop years combined), above trade expectations for 500,000 to 700,000 tonnes.

USDA reported weekly export sales of U.S. soymeal at 261,300 tonnes, above trade expectations for 100,000 to 150,000, and soyoil sales at 13,500 tonnes, in line with trade estimates.

FCPO- SINGAPORE, June 28 (Reuters) - Malaysian crude palm oil futures slipped on Thursday to their lowest level this week, as investors awaited the outcome of a European leaders' summit that is unlikely to produce concrete measures to solve the region's debt crisis.

But traders said the hot and dry weather in the United States that tightened the supply of soybeans has provided support for palm oil prices. Investors are also awaiting a report by the U.S. Department of Agriculture (USDA) on Friday to gauge stocks and production trends of soybeans.

"Prices are juxtaposed between the positive vibes of U.S. weather and negative news from Europe. Market players are awaiting Friday's USDA numbers before adding on more exposure," said a trader with a local commodities brokerage in Malaysia.

Benchmark September palm oil futures on the Bursa Malaysia Derivatives Exchange lost 0.6 percent to close at 2,998 ringgit ($939) per tonne. Traded volumes were thin at 21,457 lots of 25 tonnes each, compared to the usual 25,000 lots.

REGIONAL EQUITY- BANGKOK, June 28 (Reuters) - Indonesian stocks retreated from a five-week high on Thursday while Philippine shares lost earlier gains to end slightly lower amid broad-based selling in

energy linked stocks following a slip in global oil prices amid worries about euro zone crisis.

Jakarta's Composite Index <.JKSE> dropped 1.2 percent, with coal mining stock Harum Energy Tbk , which fell 3.5 percent, was among the biggest drags on the market. The Philippine index <.PSI> fell 0.03 percent on the day.

Philippine stock market was up 20 percent this year, ranking as the second best after Pakistan's <.KSE> gain of 22 percent, Thomson Reuters data showed. Manila has benefited this month from foreign investors seeking buying opportunities in an undervalued market.

Figures for June to Wednesday showed net foreign buying of $160 million on Philippine shares, contrasting to Indonesia and Thailand which reported net foreign selling of $230 million and $425 million for the period, respectively, Thomson Reuters data showed.

Trader's Highlight

DJI - NEW YORK, June 27 (Reuters) - U.S. stocks rose on Wednesday as stronger-than-expected economic data helped lift energy stocks, overshadowing concerns a European Union summit will not yield tangible progress in easing the debt crisis.

The energy sector showed the strongest gains among the 10 major S&P 500 groups, rising 1.9 percent as oil prices settled higher at $80.21 a barrel. Cabot Oil & Gas Corp  jumped 9 percent to $41.24 and was the biggest advancer on the S&P 500.

Worries about Europe have fed dramatic selloffs in stocks lately, but the declines have been tempered by enough short-term buying to keep the market confined to a range. 

Sentiment was helped by better-than-expected sales of long-lasting U.S. manufactured goods in May, although excluding transportation and defense items, orders were down.

In other data, signed contracts for home purchases jumped to a seven-month high. The PHLX housing sector index climbed 3 percent, taking the year-to-date gains near 26 percent.

Shares of Lennar Corp, the third-largest U.S. homebuilder, rose 4.8 percent to $28.70 after it reported a rise in new orders for the fifth straight quarter. 

"Sentiment is pretty negative. When you get people this depressed, markets have a tendency to bounce and that is pretty much where we are at right now," said Doug Foreman, director of equities at Kayne Anderson Rudnick Investment Management, an affiliated manager of Virtus Investment Partners in Los Angeles, California. 

Arena Pharmaceuticals Inc's surged 28.7 percent to $11.39 on news that U.S. health regulators approved the drugmaker's pill to treat obesity, the first weight-loss drug in 13 years. The Nasdaq biotech index <.NBI> gained 1.5 percent. 

But uncertainty remained ahead of the euro zone leaders' summit, which begins on Thursday. Few anticipate anything concrete to emerge from the two-day meeting after German Chancellor Angela Merkel said debt sharing, an idea backed by France, Italy and Spain, would not happen in her lifetime.

Healthcare stocks were in focus heading into Thursday's U.S. Supreme Court decision on President Barack Obama's 2010 healthcare law. Some investors have their attention on stocks less likely to be affected by the ruling, such as large pharmaceuticals.

Many investors expect the requirement that uninsured Americans purchase health insurance to be overturned, "so people have had plenty of time to position their portfolios for that," said Foreman.

The Dow Jones industrial average <.DJI> gained 93.32 points, or 0.74 percent, to 12,627.99. The Standard & Poor's 500 Index <.SPX> advanced 11.89 points, or 0.90 percent, to 1,331.88. The Nasdaq Composite Index <.IXIC> added 21.26 points, or 0.74 percent, to 2,875.32. 

The market's rise came on light volume of 5.75 billion billion shares traded on the New York Stock Exchange, NYSE Amex and Nasdaq. The daily average year-to-date is 6.84 billion. 

Shares of Vivus Inc and Orexigen Therapeutics Inc jumped following the FDA approval of Arena's obesity drug. The companies are also hoping to bring their medicines to market. Vivus shares were up 7.4 percent to $28.33 and Orexigen Therapeutics rose 20.3 percent to $4.92.

Some of Wall Street's top analysts published their research on Facebook Inc , and most are cautiously optimistic. Facebook shares fell 2.6 percent to $32.32 after gaining more than 20 percent in the prior two weeks.

Advancing stocks outnumbered declining ones on the NYSE by 2,354 to 654, while on the Nasdaq, advancers beat decliners 1,766 to 706.

NYMEX - NEWYORK, June 27 (Reuters) - U.S. crude futures rose on Wednesday as slower North Sea oil production due to an oil workers strike and supportive U.S. economic data countered concerns about the euro zone debt crisis.

Weekly government data showing U.S. crude oil and distillate stocks fell last week in the United States also supported crude prices.

CBOT SOYBEAN, June 27 (Reuters) - Chicago Board of Trade corn futures were higher on Wednesday as hot and dry weather threatened to slash U.S. crop production.

* Extremely hot weather is expected to move across the southern portion of the U.S. Midwest through the weekend, taking a toll on corn and soybean crops, an agricultural meteorologist said. "Temperatures will rise to the upper 90s (degrees Fahrenheit) to low 100s F from eastern Kansas, southeast Nebraska, Missouri, southern Iowa, southern Illinois, Indiana and Ohio," said Andy Karst, meteorologist for World Weather Inc.

* Karst said scorching temperatures up to 115 F were posted on Tuesday in western Plains States and the heat wave was moving east. There is the potential for showers in the northern Midwest late this week and again next week and some minimal showers were possible in the driest areas of the Midwest as well. But "definitely there will be more crop deterioration this week. There won't be enough rain to slow deterioration," he said.

* U.S. CIF basis bids for corn shipped by barge to the U.S. Gulf Coast fell on Wednesday under pressure from weak export demand and rising futures prices.  Interior cash corn basis bids were steady to lower as farmers sold some crop supplies, dealers said.

FCPO - SINGAPORE, June 27 (Reuters) - Malaysian crude palm oil futures edged down on Wednesday as investors bet a summit of European leaders later this week is unlikely to resolve the region's lingering debt crisis soon.

Losses were limited in a quiet trading session, as hot and dry weather in the United States crimped the soybean crop, fuelling expectations of tighter oilseed supply that may eventually lift palm oil prices.

"There's no new lead in terms of local sentiment, that's why the market is locked in a range of 3,000 to 3,050 ringgit. Immediate support is at 3,000 ringgit," said a trader with a foreign commodities brokerage in Malaysia.

"The weather is going to have a strong influence on the palm oil market in the near term. Palm oil is supported by the dry weather in the U.S. especially because it's the planting season." 

Benchmark September palm oil futures on the Bursa Malaysia Derivatives Exchange lost 0.2 percent to close at 3,025 ringgit ($948) per tonne, after trading in the 3,004-3,043 ringgit range.

Traded volumes were thin at 17,235 lots of 25 tonnes each, compared with the usual 25,000 lots as traders were looking for further cues to enter the market.

On the technicals front, Reuters market analyst Wang Tao posted a bearish quarterly outlook, saying palm oil could fall to 2,390 ringgit over the next three months.

Demand remains healthy with Malaysian palm oil exports showing an uptrend for the first 25 days of the month. Traders expect the trend to continue on last-minute buying leading up to the Muslim fasting month starting in end-July.

Palm oil's steep discount to soybean oil also provided an upside for prices, especially as the drought in the U.S. Midwest threatened to limit the oilseed supply further.

Traders are also watching the U.S. Department of Agriculture's June acreage report for soybeans on Friday. 

Brent crude oil fell on Wednesday on mounting concerns that European leaders would fail to solve the region's intractable debt crisis at a key meeting this week, offsetting tighter North Sea oil supply. [O/R]    

In other vegetable oil markets, U.S. soyoil for July  delivery inched up 0.3 percent in late Asian trade. The most active January 2013 soyoil contract on Dalian commodity exchange closed 0.1 percent lower.     

REGIONAL EQUITY - BANGKOK, June 27 (Reuters) - Stocks in Singapore, Indonesia and Thailand rose to one-week closing high on Wednesday as buying interest picked up in large cap stocks and banking shares recently hit by falling appetite for riskier assets.

Singapore's Straits Times Index gained 1.3 percent, reversing four sessions of losses, Jakarta's Composite Index and Thai SET index both rose for a second session, adding 1.4 percent and 1.3 percent, respectively.

Domestic institutions were bullish on Thai stock market as growing domestic consumption boded well for the outlook of certain sectors such as consumer and banking, but some foreign funds remained cautious, said Viwat Techapoonphol, senior strategist at broker Tisco Securities.

Foreign investors continued to take money out of Thai stocks, with the outflows extending for the second month, in line with Indonesia but contrasting with inflows into the Philippines, according to Thomson Reuters data.

Thai stocks had net foreign selling of $430 million in the month to June 26, ahead of Indonesia's net foreign outflows of $272 million for the same period while the Philippines reported $160 million worth of foreign inflows. 

Trader's Highlight

DJI - NEW YORK,  June 26 (Reuters) - Wall Street stocks rose and the euro fell to its lowest level versus the U.S. dollar in over two weeks on Tuesday, as technical buying offset a near tripling in Spanish debt costs on doubts a European summit can ease the region's debt crisis.

Low expectations for the meeting in Brussels on Thursday and Friday helped drive Spanish short-term borrowing rates to their highest in more than six months when the country sold just over 3 billion euros ($3.8 billion) of three- and six-month debt.

In the United States, data pointed to a surprisingly strong April rise in home prices, boosting U.S. housing shares. The mildly encouraging figures on housing were mitigated by data signaling a deterioration in consumer confidence, which stoked concerns about slowing U.S. growth.

Anxiety over a global economic slowdown underpinned by the fiscal troubles in the euro zone led analysts to conclude any bounce in stock prices could be short-lived.

"This is a classic exhaustion rebound. The selling intensity was pretty high yesterday, and technically, we were due for a short-term rebound," said James Dailey, portfolio manager of TEAM Asset Strategy Fund in Harrisburg, Pennsylvania.

"But these gains are really unsustainable. I think we have entered the bear market cycle already, and these (gains) could disappear any minute."

Investors pared their safe-haven holdings in gold as well as U.S. and German government debt.

They bought Brent oil futures, which rose above $93 a barrel on a strike in Norway that threatened North Sea supply, expectations of falling U.S. crude inventory and rising tension over Syria. 

At the close, the Dow Jones industrial average <.DJI> edged up 32.47 points, or 0.26 percent, to 12,535.13. The S&P 500 Index gained 6.32 points, or 0.48 percent, to 1,320.04. The Nasdaq Composite rose 17.90 points, or 0.63 percent, to 2,854.06.

CBOT SOYBEAN, Soybean futures on the Chicago Board of Trade ended lower as profit-taking and fund long liquidation halted a two-day,weather-driven rally, traders said.

* Most-active November soybeans unofficially fell 0.8 percent after setting a contract high at $14.38-3/4 per bushel. The contract on Monday burst through long-term chart resistance at $14.00 as traders fretted about stressful, dry U.S. weather.

* Funds hold a near record large net long position in CBOT soybeans, leaving the market vulnerable to occasional bouts of long liquidation.

* Meteorologists expect hot and dry conditions to persist in the U.S. Midwest next week, stressing corn and soybean plants. But the midday run of the computerized American weather model did indicate some rain. 

* Unlike corn, which faces an immediate threat to yield potential from crop stress, U.S. soybeans will not reach their key yield-determining phase until later this summer and may be able to recover from the current dry spell. 

* Trade expects USDA on Friday to raise its estimate of U.S. 2012 soybean acreage. The average estimate for U.S. soybean plantings among 19 analysts surveyed by Reuters was 75.5 million acres, up from USDA's March projection of 73.9 million.

* Hamburg-based oilseeds analysts Oil World raised its forecast of China's 2011/12 soybean imports to 57.9 million tonnes, up 1 million from last month. The figure would be up 5.6 million tonnes year-on-year. 

* Soymeal prices are likely to remain firm in coming months and tight global meal supplies after low South American soybean crops could open sudden export opportunities for Indian soymeal - Oil World.

FCPO - SINGAPORE, June 26 (Reuters) - Malaysian crude palm oil futures ended higher on Tuesday, supported by rising exports and concerns that drought in the United States could damage the soybean crop and limit global supplies of edible oils.

But gains were limited in a choppy trading session as investors turned sceptical ahead of a summit of European leaders later this week that looks unlikely to take concrete measures to solve the region's debt crisis.

"The market is trading in a tight range today, indicating traders were cautious and chose to stay on the sidelines ahead of the EU summit," said a dealer with a foreign commodities brokerage in Malaysia.

Benchmark September palm oil futures on the Bursa Malaysia Derivatives Exchange edged up 0.2 percent to close at 3,035 ringgit ($951) per tonne. Prices traded in a narrow range between 3,010 and 3,036 ringgit.

Traded volumes were thin at 16,908 lots of 25 tonnes each, compared to the usual 25,000 lots.

Malaysian palm oil exports grew 4.4 percent to 1.2 million tonnes in the first 25 days of the month from a month ago, said cargo surveyor Intertek Testing Services, backed by higher shipments to China, India and Pakistan. 

Another cargo surveyor, Societe Generale de Surveillance, said late on Monday that exports rose 8.8 percent, supporting views that demand is being helped by last-minute buying ahead of the Muslim fasting month starting in July.

Hot and dry weather in the United States continued to threaten to damage soybean crops and could possibly lead to a smaller supply of soybean oil, raising appeal of palm oil that is already trading at a steep discount.

Traders are also eyeing the U.S. Department of Agriculture's June acreage report for soybeans on Friday. The average soy estimate in a Reuters survey was 2.2 percent higher than USDA's March forecast.

Oil climbed towards $92 per barrel on Tuesday as the prospect of a decline in U.S. crude stockpiles offset concern that a meeting of European leaders would fail to resolve the region's debt crisis. 

In other vegetable oil markets, U.S. soyoil for July delivery lost 0.5 percent. 

The most active January 2013 soyoil contract on Dalian commodity exchange also lost 0.8 percent, after touching a more than one-month high the previous day. Palm, soy and crude oil prices at 1012 GMT 

REGIONAL EQUITY - BANGKOK, June 26 (Reuters) - Stocks in Thailand and Indonesia eked out small gains on Tuesday after three straight losing sessions as investors bought recently beaten down energy-linked shares buoyed by a rebound in oil prices.

Thai SET index edged up 0.32 percent, led by the energy subindex which advanced 0.17 percent. Energy shares were down 1.7 percent in 2012 due to weak appetite for riskier assets and its exposure to weak global economy.

Jakarta's Composite Index rose 0.6 percent, with commodities shares contributing the most to the gains. Harum Energy Tbk rose 4.6 percent, while Adaro Energy jumped 4.5 percent.

Others in the region ended mixed. The Philippine main index extended its gains for a third session, adding 0.5 percent. Vietnam fell for a fourth session, ending 1.2 percent lower at its lowest close in three weeks. 

Trader's Highlight

DJI - NEW YORK, June 25 (Reuters) - Global stock indexes and the euro sank on Monday on doubts that a European summit this week would move any closer to solving the region's festering debt crisis, a pessimistic outlook that spa rked a bid for safe-haven assets.

The euro fell broadly on investor skepticism that the meeting of European Union leaders on Thursday and Friday will produce substantive measures to tackle the debt crisis, now in its third year and buffeting Spain, the euro zone's fourth-largest economy.

Spanish and Italian bond yields rose in a sign of investor skittishness, while the dollar and U.S. government debt prices ga ined as investors sought safety.

Decliners beat advancers by a ratio of about 3 to 1 on both the New York Stock Exchange and the Nasdaq in light trade.

The Dow Jones industrial average lost 138.12 points, or 1.09 percent, to close at 12,502.66. The Standard & Poor's 500 Index fell 21.30 points, or 1.60 percent, to finish at 1,313.72. The Nasdaq Composite Index  slid 56.26 points, or 1.95 percent, to end at 2,836.16.

NYMEX - NEW YORK, June 25 (Reuters) - U.S. crude futures fell back on Monday as Tropical Storm Debby, the first named storm of this Atlantic hurricane season, missed the Gulf of Mexico's production-rich areas and hopes faded that an EU summit this week will find durable solutions to the region's  debt crisis. 

CBOT SOYBEAN, June 25 (Reuters) - Soybean futures on the Chicago Board of Trade ended higher, with deferred contracts leading the way up as dry weather and rising temperatures threatened U.S. yield potential.    

* Most-active November soybeans broke through major chart resistance at $14.00 per bushel, its previous contract high, to set a new top at $14.37. September 2012, January and August 2013 soybeans also set contract highs.

* Spot July soybeans reached $14.91-1/4, the highest level on a continuous price chart since May 2. 

* Soymeal and soyoil futures also rose, with deferred contracts leading the advances. Soymeal futures set contract highs in most months other than spot July.

* A high pressure ridge hovering over the Rocky Mountains is expected to push east across the Midwest and Delta later this week through next week, bringing the hottest days of the season to the Midwest. Highs in Chicago highs could reach 100 degrees Fahrenheit (38 Celsius) on Thursday.

* Soybeans pared gains slightly after updated computerized forecasting models indicated good rains could move through the eastern Midwest by early next week, but forecasters were skeptical of the changes. 

* USDA confirmed sales of 120,000 tonnes of U.S. soybeans to China for delivery in 2012/13. 

    

* Analysts surveyed by Reuters expected USDA in its weekly crop progress report later on Monday to show 53 percent of the U.S. soybean crop rated in good to excellent condition, down

from 56 percent a week earlier. 

* USDA reported export inspections of U.S. soybeans in thelatest week at 9.182 million bushels, below trade estimates for 12 million to 14 million bushels. 

* CFTC's weekly supplemental report on Friday showed large speculators expanded their net long position in CBOT soybeans by 4,235 contracts as of June 19, to 182,294 contracts.

FCPO - SINGAPORE, June 25 (Reuters) - Malaysian crude palm oil futures closed higher on Monday on hopes demand for the tropical oil would get a boost as dry weather in the United States curbs supply of competing soybean oil.

Palm oil futures rose close to 4 percent last week on U.S. weather woes, and prices sharply extended those gains on Monday on concerns that the drought could be worse than expected.

Rising exports ahead of the Muslim fasting month Ramadan that begins in end-July also added to the bullish mood. "The dry weather is lending support. Demand should also be able to stay healthy because of last-minute purchase ahead of Ramadan," said Alan Lim Seong Chun, research analyst with Malaysia's Kenanga Investment Bank.

"Also, there will be a summit in Europe this week. Since the general equities markets have gone down quite a bit, the market expects the Europe leaders to make some decisions to keep the economy going. These are conditions for further stimulus, and they will be beneficial for all commodities including palm oil."

Benchmark September palm oil futures on the Bursa Malaysia Derivatives Exchange jumped 2.6 percent to close at 3,030 ringgit ($948) per tonne, after hitting a high of 3,059 ringgit earlier in the session. 

Traded volumes stood at 26,177 lots of 25 tonnes each, slightly higher than the usual 25,000 lots.

Malaysian palm oil exports grew 4.4 percent to 1.2 million tonnes in the first 25 days of the month from a month ago, said cargo surveyor Intertek Testing Services, backed by higher shipment to China, India and Pakistan.

Another cargo surveyor Societe Generale de Surveillance will delay the data release palm oil exports to Tuesday, an official said.  

Traders cited fears that dry weather would impede the planting of the last of the U.S. soybean crop, including so-called "double-crop" soybeans that are planted on recently harvested winter wheat fields. 

Unfavourable weather that could hurt soybean crop may lead to a smaller supply of soybean oil, shifting demand to thecheaper refined palm oil.

Brent crude futures hovered around $90 a barrel on Monday as concerns about faltering global growth and Europe's debt crisis hit investor confidence. 

In other vegetable oil markets, U.S. soyoil for July delivery jumped 2.1 percent, lending support to palm oil prices.

The most active January 2013 soyoil contract on Dalian commodity exchange also rose 1 percent after resuming trading after a holiday. Prices touched a new high at 9,620 yuan per tonne, a level last seen since May 14.

REGIONAL EQUITY, BANGKOK, June 25 (Reuters) - Southeast Asian stock markets ended mostly lower on Monday, after a range-bound session, with Philippine shares bucking the trend as large cap stocks such as Philippine Long Distance Telephone Co  rose on hopes of better earnings.

The Philippine benchmark stock index <.PSI> rose 0.9 percent to its highest close in six weeks, led by a 4.9 percent gain by top telecoms firm PLDT, which was also the most actively traded.

The outlook for Philippine companies' earnings was attractive, including telecoms, conglomerates and power firms,said Oliver Plana, head of sales at AsiaSec Equities Inc in Manila.

"The domestic market increasingly got good foreign buying interest. It is because of good macro numbers and the profit expectation has gone up," he said.

Overall, the emerging region's investors remained wary of persistent fears about Europe's debt crisis and fresh concerns about global economic growth. Malaysia <.KLSE> ended flat,climbing at one point to an intraday record high of 1,611.50. 

Trader's highlight

DJI- NEW YORK, June 22 (Reuters) - Oil bounced from 18-month lows o n F riday as investors shifted their focus to efforts to resolve Europe's debt crisis, while U.S. stocks rebounded from the second-worst decline of the year.

The euro firmed against the dollar after the European Central Bank said it would accept lower-quality assets as collateral in a move to aid the region's shaky banks.

Investors worry that Europe's debt crisis is adding to the slowdown in global economic growth, especially after a spate of data on Th ursday showing weakness in global manufacturing. European stocks ended lower for the day after data showed a drop in German business sentiment.

The leaders of Germany, France, Italy and Spain agreed on F riday on a 130 billion euro ($156 billion) package to revive economic growth in Europe but split over issuing joint bonds to combat the euro zone's debt crisis.

 

The Dow Jones industrial average <.DJI> gained 67.21 points, or 0.53 percent, at 12,640.78. The Standard & Poor's 500 Index <.SPX> was up 9.51 points, or 0.72 percent, at 1,335.02. The Nasdaq Composite Index <.IXIC> was up 33.33 points, or 1.17 percent, at 2,892.42.

 

NYMEX- NEW YORK, June 22 (Reuters) - U.S. crude futures ended up nearly 2 percent on Friday, rebounding from a 4 percent loss in the previous session and on short-covering as a potential storm threatened to disrupt oil production in the Gulf of Mexico.

CBOT SOYBEAN- Soybean futures on the Chicago Board of Trade ended higher on Friday on worries about tight supplies of old-crop U.S. soybeans and hot and dry weather in the U.S. Midwest threatening new-crop prospects, traders said.

Market pared gains toward the close on profit-taking; front-month soybeans unofficially ended the week up 4.8 percent.

Gains also limited after the midday run of a computerized U.S.-based weather forecasting model indicated wetter and cooler conditions in the six- to 10 and 11- to 15-day periods.

CBOT July options expired at the close of pit trading at 1:15 p.m. CDT (1815 GMT).

Soymeal lost ground against soyoil as meal/oil spreads unwound; soymeal came under pressure in the final five minutes of open-outcry trade.

FCPO- SINGAPORE, June 22 (Reuters) - Malaysian crude palm oil futures inched down on Friday, as investors took a more cautious stance on weak economic data from the United States and China, worrying that slowing global growth could hurt commodity demand.

U.S. factory growth registered its slowest pace in 11 months in June and Chinese manufacturing contracted for an eighth month running. Shrinking business activity across the euro zone and a downgrade to the credit ratings of 15 of the world's biggest banks by ratings agency Moody's also added to the gloom.

But palm oil still ended the week 3.7 percent higher on earlier rallies this week as dry weather in the U.S. threatened to tighten global oilseed supplies.

"We are seeing a tug of war. On one hand we have good fundamentals, on the other hand we have macroeconomic factors that are a bit bearish," said James Ratnam, an analyst with TA Securities in Malaysia.

"Festive demand is still quite strong but traders are worried that if the economy gets really bad, demand will suffer eventually."

Benchmark September palm oil futures on the Bursa Malaysia Derivatives Exchange lost 1.6 percent to close at 2,953 ringgit ($928) per tonne. Prices rose as high as 3,062 ringgit on Thursday, a level unseen since June 1.

Traded volumes stood at 26,845 lots of 25 tonnes each, slightly higher than the usual 25,000 lots on position squaring ahead of the weekend.

REGIONAL EQUITY- June 22 (Reuters) - Most Southeast Asian stock markets ended weaker on Friday as fears over weaker global economic growth hit investor appetite for risky assets.

U.S manufacturing grew in June at its slowest pace in 11 months, an industry survey showed on Thursday, and data showed the euro zone's private sector shrinking at its fastest pace in three years this month, while Chinese manufacturing contracted for an eighth straight month.

Malaysia <.KLSE> edged up 0.1 with a$22.07 million inflow, extending net foreign buying to $79 million in the last four sessions.

RTRS-Cropcast cuts US corn, soy estimates due to dryness

CHICAGO, June 21 (Reuters) - Cropcast on Thursday cut its forecast for the 2012 U.S. corn yield by 3.1 percent from its previous prediction and cut its U.S. soybean crop yield estimate nearly 4.0 percent due to continued dryness across the Midwest crop belt.

The central and southern Midwest, the central Plains and northern Mississippi Delta are the driest, Cropcast said. The area needs rain soon as the bulk of the U.S. corn crop is expected to pollinate starting next week and continue through the first two weeks of July.

"From here on out I think it is going to be an issue of dryness versus heat that is going to knock the yields down," said Don Keeney, senior agricultural meteorologist with Cropcast. "If the dry forecast holds for the next couple weeks, those forecasts will most likely come down."

Cropcast is a division of MDA EarthSat Weather and forecast the average U.S. corn yield at 158.6 bushels per acre, down from its previous estimate of 163.7 and USDA's estimate of 166.

The weather agency reduced its soybean yield estimate to 42.4 bps, from its previous forecast of 44.1 and USDA's outlook of 43.9.

Based on its current yield estimates, Cropcast forecast the U.S. corn crop at 13.971 billion bushels and soybean at 3.145 billion bushels.

USDA is currently estimating this year's U.S. corn crop at a record large 14.790 billion bushels and soybean output at 3.205 billion bushels.

RTRS-Indonesia palm output up 7 pct in 2012

JAKARTA, June 21 (Reuters) - Palm oil production in the world's top producer Indonesia will increase by at least 7 percent this year, boosted by maturing plantation areas producing higher yields, an industry official said on Thursday.


This year palm oil output from Southeast Asia's largest economy will be between 23 million and 24 million tonnes, compared to 22.5 million tonnes in 2011, Rosediana Suharto, executive chairman of the Indonesian Palm Oil Commission (IPOC), told Reuters in an interview.

"Maybe more than 23 million," said Suharto, who also expects palm plantation areas to rise by 300,000 hectares in 2012, from 8.2 million hectares last year. "Our immature (area) is still quite high ... expansion doesn't give you fruit straight away."

Earlier this year, the Indonesian Palm Oil Association forecast that palm production would hit 25 million tonnes this year, while the Agriculture Ministry saw production at 25.7 million tonnes. [ID:nL3E8C43TJ] [ID:nL3E8C933G]

"Too dry," said Suharto, when asked about conditions on palm plantations during the first half of the year. "Last year the rain fall was a bit low ... we predict that this year will be much lower.

"People don't normally open plantations when there is no rainfall because small plantings cannot grow without rain."

The IPOC aims to develop the palm oil industry and gives policy and regulatory recommendations to the Indonesian government.