Palm oil prices jump to all-time high as Russia-Ukraine tension worsens
The benchmark palm oil contract FCPOc3 for May delivery on the Bursa Malaysia Derivatives Exchange rose 101 ringgit, or 1.78%, to 5,776 ringgit ($1,380.17) a tonne in early trade.
- Feb 22, 2022,
- Updated Feb 22, 2022 9:08 AM IST
Malaysian palm oil futures scaled an all-time high on Tuesday, extending gains to a fourth session, as threats of a Russia- Ukraine war lifted crude prices and boosted the appeal of the tropical oil as a more attractive biodiesel feedstock option.
The benchmark palm oil contract FCPOc3 for May delivery on the Bursa Malaysia Derivatives Exchange rose 101 ringgit, or 1.78%, to 5,776 ringgit ($1,380.17) a tonne in early trade.
The spot contract climbed to an all-time high of 6,272 ringgit as investors priced in tightening supply following an upsurge in early February exports.
FUNDAMENTALS
* Oil prices jumped more than $2 to a fresh seven-year high after Moscow ordered troops into two breakaway regions in eastern Ukraine, escalating a crisis that western leaders have warned could spark a war. O/R
* Tensions between Russia and Ukraine have also stoked worries over sunflower oil shipments from the Black Sea region, Refinitiv Agriculture Research said in a note on Monday.
* Dalian's most-active soyoil contract DBYcv1 rose 1.6%, while its palm oil contract DCPcv1 jumped 2.3%. Soyoil prices on the Chicago Board of Trade BOcv1 were up 1.5%.
* Exports of Malaysian palm oil products for Feb. 1-20 rose 30.5% from the same period in January, cargo surveyor Societe Generale de Surveillance said. Read full story
* Palm oil may test a resistance zone of 5,794-5,868 ringgit per tonne, a break above which could lead to a gain to 5,986 ringgit, Reuters technical analyst Wang Tao said.
MARKET NEWS
* Oil jumped to a seven-year high, safe-havens rallied and U.S. stock futures dived as Europe's eastern flank stood on the brink of war after Russian President Vladimir Putin ordered troops into breakaway regions of eastern Ukraine.
DATA/EVENTS (GMT, Feb)
0900 Germany Ifo Business Climate New
0900 Germany Ifo Curr Conditions New
0900 Germany Ifo Expectations New
1445 US Markit Mfg, Serv, Comp Flash PMIs
1500 US Consumer Confidence
Malaysian palm oil futures scaled an all-time high on Tuesday, extending gains to a fourth session, as threats of a Russia- Ukraine war lifted crude prices and boosted the appeal of the tropical oil as a more attractive biodiesel feedstock option.
The benchmark palm oil contract FCPOc3 for May delivery on the Bursa Malaysia Derivatives Exchange rose 101 ringgit, or 1.78%, to 5,776 ringgit ($1,380.17) a tonne in early trade.
The spot contract climbed to an all-time high of 6,272 ringgit as investors priced in tightening supply following an upsurge in early February exports.
FUNDAMENTALS
* Oil prices jumped more than $2 to a fresh seven-year high after Moscow ordered troops into two breakaway regions in eastern Ukraine, escalating a crisis that western leaders have warned could spark a war. O/R
* Tensions between Russia and Ukraine have also stoked worries over sunflower oil shipments from the Black Sea region, Refinitiv Agriculture Research said in a note on Monday.
* Dalian's most-active soyoil contract DBYcv1 rose 1.6%, while its palm oil contract DCPcv1 jumped 2.3%. Soyoil prices on the Chicago Board of Trade BOcv1 were up 1.5%.
* Exports of Malaysian palm oil products for Feb. 1-20 rose 30.5% from the same period in January, cargo surveyor Societe Generale de Surveillance said. Read full story
* Palm oil may test a resistance zone of 5,794-5,868 ringgit per tonne, a break above which could lead to a gain to 5,986 ringgit, Reuters technical analyst Wang Tao said.
MARKET NEWS
* Oil jumped to a seven-year high, safe-havens rallied and U.S. stock futures dived as Europe's eastern flank stood on the brink of war after Russian President Vladimir Putin ordered troops into breakaway regions of eastern Ukraine.
DATA/EVENTS (GMT, Feb)
0900 Germany Ifo Business Climate New
0900 Germany Ifo Curr Conditions New
0900 Germany Ifo Expectations New
1445 US Markit Mfg, Serv, Comp Flash PMIs
1500 US Consumer Confidence