Commodity News
HeadLine : Palm oil extends gains on higher oil prices
Date : Mar 26 2024
Malaysian palm oil futures extended gains on Tuesday amid higher crude oil prices, although a stronger ringgit capped gains. The benchmark palm oil contract for June delivery on the Bursa Malaysia Derivatives Exchange rose 14 ringgit, or 0.33% to 4,261 ringgit ($903.33) a metric ton in morning trade. It had gained 0.64% during overnight trade. Dalian's most-active soyoil contract rose 0.38%, while its palm oil contract was up 0.34%. Soyoil prices on the Chicago Board of Trade dipped 0.14%. Palm oil is affected by price movements in related oils, as they compete for a share in the global vegetable oils market. Oil prices were on track to gain for a second straight day, after settling up more than a dollar on expectations of tighter supply driven by Russian production cuts and attacks on Russian refineries. Stronger crude oil futures make palm a more attractive option for biodiesel feedstock. The Malaysian ringgit , palm's currency of trade, strengthened 0.13% against the dollar. A stronger ringgit makes palm oil less attractive for foreign currency holders. 

Source: Reuters

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