The benchmark palm oil contract for September delivery on the Bursa Malaysia Derivatives Exchange rose 11 ringgit, or 0.45%, to 2,440 ringgit ($571.83) in early trade.
The contract gained 0.7% in the previous session to a near three-week closing high.
Cargo surveyors are expected to release their July 1-15 export data on Wednesday.
FUNDAMENTALS
The ringgit, palm’s currency of trade, weakened 0.16% against the dollar, making the vegetable oil cheaper for holders of foreign currency.
European Union palm oil imports over July 1-12, the first two weeks of the 2020/21 season, were 137,800 tonnes, down 19% from the previous season, official EU data showed on Monday.
Dalian’s most-active soyoil contract rose 0.24%, while its palm oil contract was up 1.6%. Soyoil prices on the Chicago Board of Trade were down 0.94%.
Palm oil is affected by price movements in related oils as they compete for a share in the global vegetable oils market.
Palm oil may test a support at 2,404 ringgit per tonne, with a good chance of breaking below this level and falling to 2,383 ringgit, Reuters technical analyst Wang Tao said.
MARKET NEWS
Asian stock markets slipped, oil sagged and a safety bid supported the dollar as simmering Sino-U.S. tensions and fresh coronavirus restrictions in California kept a lid on investor optimism as earnings season gets underway.
