FCPO Related News (Tues, Apr 30)

[Malaysia April Palm Oil Exports 1.31 Mln Tons, Down 4.3% – Intertek ]

SINGAPORE, April 29 (Reuters) - Malaysian palm oil futures lost ground on Monday after four straight sessions of gains, although traders remained cautious ahead of export data that could provide further trading cues. The edible oil posted its first weekly gain out of five last week, supported by rising Malaysian exports for the first 25 days of the month thanks to stronger demand from India, Europe and the United States.

The gains prompted some profit-taking as the market lacked fresh stimulus, with the Chinese soybean oil market closed for holiday and ahead of Malaysia's palm export data for the full month due on Tuesday. "The market is a bit quiet today as the Dalian markets were closed. There's also exports data due on Tuesday so traders are waiting for further direction on stocks," said a trader with a foreign commodities brokerage in Kuala Lumpur.

The benchmark July contract on the Bursa Malaysia Derivatives Exchange fell 1.7 percent to close at 2,277 ringgit ($751) per tonne. Prices touched 2,334 ringgit on Friday, the highest since April 12. Total traded volumes were thin at 26,636 lots of 25 tonnes each, compared to the average 35,000 lots. Investors are pinning their hopes on healthy exports and lacklustre production to help cut stockpiles in Malaysia, which eased from February's 2.43 million tonnes to 2.17 million tonnes last month. Lower palm oil inventory level could provide support for palm oil prices, which have lost 6.6 percent so far this year. Leading analyst Dorab Mistry forecast in March that prices could rise to 2,400 to 2,700 ringgit by the end of May, as weaker production speeds a fall in stockpiles.

In other markets, Brent crude oil slipped to $103 per barrel on Monday as an uncertain outlook for growth in the world's two largest oil consumers, the United States and China, encouraged commodities markets to consolidate. In vegetable oil markets, U.S. soyoil for July delivery fell 0.6 percent in late Asian trading. The Dalian Commodities Exchange is closed for Labour Day and will only resume trading on Thursday.

Today’s Support and Resistance for benchmark July contract is located around 2,260 and 2,326 respectively.

FKLI Related News (Tues, Apr 30)

(Reuters) - U.S. stock index futures rose on Monday, extending the previous week's gains, buoyed by upward momentum from European stocks and hopes for U.S. corporate results and economic data. Wall Street was poised to start the last week of April higher. So far, the S&P 500 is up 0.8 percent this month.  In macroeconomic news, personal income and outlays, due at 8:30 a.m. EDT (1230 GMT) will be in focus after last week's disappointing first quarter gross domestic product numbers. Economists polled by Reuters forecast personal spending growth was flat last month, after rising 0.7 percent in February.

Boosting equities, spot gold rose 0.6 percent to $1,470.96 an ounce. The metal rose on Friday to touch its highest since April 15 at $1,484.81.  Weak U.S. growth data has raised expectations the Federal Reserve will keep its pace of bond buying at $85 billion a month, while the European Central Bank (ECB) is widely expected to announce an interest rate cut when it meets on Thursday. Dow Jones industrial average futures rose 43 points and Nasdaq 100 futures added 9.5 points. U.S. stocks dipped in thin volume on Friday, though the market had a strong week overall despite a mixed bag of earnings and weak economic figures.

Shares of online retailer Amazon.com Inc posted the largest daily drop in 15 months after the company reported results late on Thursday. It was Friday's biggest drag on the S&P 500 and Nasdaq indexes. European shares edged up on Monday after Italy finally formed a government, ending two months of political uncertainty, although analysts saw the gains petering out in the near term.          [Reuters]

The FBM KLCI closed flat after hovering in the red as the long-awaited 13^th General Election will take place this Sunday. At 5.00 pm close, the benchmark index slipped by 3.32 points to 1,707.97 after trading between 1,706.29 and 1,711.85 points. “The uncertainty over the outcome of the General Election should check further gains this week as investors get ready to fulfill their obligations as responsible citizens. The dwindling volume is a good indication of the cautious mood in the air despite the index testing a new high of 1,718 points last Friday, where the advancement was confined to selected blue chips and not broad based,” said TA Securities head of research Kaladher Govindan in a note today.

FKLI spot month contract opened slightly higher this morning at 1,710 following gains in U.S stocks on Monday. Today’s Support and Resistance for April contract is located around 1,700 and 1,714 respectively.

FCPO Related News (Mon, Apr 29)

KUALA LUMPUR, April 26 (Reuters) - Malaysian palm oil futures climbed to a two-week high on Friday, posting its first weekly gain out of five, as encouraging export data buoyed investor hopes for resilient global demand.     Cargo surveyor data showed palm oil shipments in the first 25 days of April rose between 2.7 percent and 5.2 percent, fuelled by stronger demand from India, Europe and the United States. 

Traders also noted a sudden spike in buying from India, the world's biggest edible oil consumer, as Indian traders took advantage of low physical prices to buy. "The market today is very strong. Exports are friendly to the market it shows that demand is still there," said a trader with a foreign commodities brokerage in Kuala Lumpur. "There is prompt demand coming in from India. For the past few months India has kept a low profile, but now they are coming back into the market because prices are quite cheap, compared to two months ago when it was at 2,400 to 2,500 ringgit," he added.

The benchmark July contract on the Bursa Malaysia Derivatives Exchange edged up 0.3 percent to close at 2,315 ringgit ($763) per tonne. Prices touched 2,334 ringgit earlier, the highest since April 12 and posted a 0.8 percent weekly gain after four straight weeks of losses. Total traded volumes stood at 23,311 lots of 25 tonnes each, lower than the average 35,000 lots.     Technical analysis showed palm oil is expected to end the current rebound at or below 2,347 ringgit per tonne, as indicated by its wave pattern and a Fibonacci retracement analysis, Reuters market analyst Wang Tao said.

   

Investors hope that healthy exports and near-stagnant production will help cut stockpiles in Malaysia, the world's No.2 palm producer, and stem the loss in prices of about 5 percent so far this year. Palm oil stocks stand at 2.17 million tonnes, after easing more than 10 percent from February. In other markets, Brent crude slid below $103 a barrel on Friday after rising $3 in the past two sessions, with investors cautious over the tepid outlook for growth in the world's two largest oil consumers, the United States and China. U.S. soyoil for July delivery dipped 0.4 percent. The most-active September soybean oil contract on the Dalian Commodities Exchange fell 0.6 percent.            [Reuters]

Today’s Support and Resistance for benchmark July contract is located around  2,310 and 2,345 respectively.

FKLI Related News (Mon, Apr 29)

(Reuters) - Stocks dipped in thin volume on Friday, though the market had a strong week overall despite a mixed bag of earnings and weak economic figures. Shares of online retailer Amazon.com Inc (AMZN.O) posted the largest daily drop in 15 months after the company reported results late on Thursday. It was Friday's biggest drag on the S&P 500 and Nasdaq indexes. Gains in shares of Chevron Corp (CVX.N) buoyed the blue-chip Dow industrials. The market fell early after a negative surprise from the gross domestic product report, but the decline attracted bargain-hunting investors late in the session. Major indexes posted solid gains for the week.

J.C. Penney Co (JCP.N) was the S&P 500's biggest percentage gainer, up 11.5 percent to $17 after CNBC reported Goldman Sachs lined up a $1.75 billion loan for the retailer. The news added to previous gains a day after investor George Soros reported a 7.9 percent passive stake in the company. The Dow Jones industrial average .DJI rose 11.75 points or 0.08 percent, to 14,712.55, the S&P 500 .SPX lost 2.92 points or 0.18 percent, to 1,582.24 and the Nasdaq Composite .IXIC dropped 10.72 points or 0.33 percent, to 3,279.26. For the week, the Dow gained 1.1 percent, the S&P added 1.7 percent and the Nasdaq rose 2.3 percent. The S&P traded Thursday within a point of its historic closing high set earlier this month and the 1,593 level is expected to be technical resistance in the near future. About 5.7 billion shares changed hands on the New York Stock Exchange, the Nasdaq and NYSE MKT, below the daily average so far this year of about 6.4 billion shares.           [Reuters]

KUALA LUMPUR, April 27 (Bernama) -- The FTSE Bursa 

Malaysia KLCI (FBM KLCI) is expected to stage a rally next week 

on optimism the current government will retain power post-general

 election, positive reversal in commodity prices, firm regional stock

 sentiment and strong performance of the ringgit following the 

influx of foreign funds, a dealer said. Affin Investment Bank Vice-

President/Head of Retail Research Dr Nazri Khan said as of last

 week, Malaysia's equity market attracted RM13.1 billion of foreign

 funds in the open market in less than four months compared with

 RM13.7 billion for the whole of 2012.          [Bernama]

The FBM KLCI index gained 4.95 points or 0.29% on Friday, 

which saw some investors cashing in on blue chips which propelled

 the FBM KLCI to close at the new all-time high of 1,711.29 points.

 The upsurge was mainly driven by the Finance Index, led by 

heavyweights Hong Leong Financial Group, AMMB Holdings and 

CIMB Group. Bargain hunting for quality stocks is expected to

 continue till GE.

FKLI spot month contract opened  slightly lower this morning at 

1,711.50. Today’s Support and Resistance for April contract is 

located around 1,700 and 1,720 respectively.

FCPO Related News (Fri, Apr 26)

KUALA LUMPUR, April 25 (Reuters) - Malaysian palm oil futures rose to a near two-week high on Thursday as better-than-expected exports lured investors back to the futures market, although lingering fears of a potential stock buildup capped gains. Exports in the first 25 days of April rose a surprise 5.2 percent to 1,123,129 tonnes from a month ago, according to cargo surveyor data. Shipments of crude palm oil nearly doubled and demand from Europe and India picked up. Firmer overseas soy markets in the United States and China also gave additional strength to palm, the most widely traded vegetable oil in the world.

U.S. soybeans edged up as the market took a breather after sliding more than 1 percent on rising supplies from South America and slowing Chinese demand. "The (palm) market today is up on the back of the friendly exports report and bean oil markets," said a trader with a foreign commodities brokerage in Kuala Lumpur. "But the only thing that is hampering the market from really going higher is the impending buildup in stocks in months to come," the trader added. "People are talking about the long-term issues, that's why the market has been playing range trading for the past two weeks."

The benchmark July contract on the Bursa Malaysia Derivatives Exchange rose to 2,326 ringgit ($764) in early Asian trade, the highest since April 12. It closed at 2,308 ringgit, up 0.8 percent. Prices traded in a tight range between 2,302 and 2,326 ringgit. Total traded volumes stood at 24,489 lots of 25 tonnes each, lower than the average 35,000 lots. Technicals showed palm oil is expected to rise more to 2,347 ringgit, as it has cleared a resistance at 2,310 ringgit, Reuters market analyst Wang Tao said.

China, which buys 60 percent of the world's traded soybeans, could further cut bean imports in response to a deadly bird flu virus outbreak -- a move that could curb a rally in benchmark Chicago prices and potentially crimp palm prices. "The bird flu might only slightly affect demand side and Malaysian palm purchasing," the Kuala Lumpur-based trader said. "But it may have some pricing impact on soybean and soybean meal. Indirectly, it will affect soybean oil and palm oil."

Another cargo surveyor, Societe Generale de Surveillance, will release its April 1-25 export data later on Thursday.  In other markets, Brent crude oil prices held above $101 a barrel on Thursday, although scepticism set in on whether Wednesday's rally would be sustained as traders focused on the weak outlook for global demand and rising supply. The U.S. soyoil for July delivery rose 0.6 percent in late Asian trade. The most-active September soybean oil contract on the Dalian Commodities Exchange edged up 0.1 percent.

Today’s Support and Resistance for benchmark  July contract is located around 2,310 and 2,345 respectively.

FKLI Related News (Fri, Apr 26)

NEW YORK (Reuters) - Stocks rose on Thursday, lifted by stronger-than-expected earnings and a large drop in weekly jobless claims. The S&P 500, up for five straight sessions, traded within a point of its record closing high before shedding about half of the day's gains. The high was near the 1,593 level that is expected to be technical resistance. Telecommunications companies' shares led the S&P 500's advance, with the sector's index (.SPLRCL) up 1.7 percent. Verizon Communications (VZ.N) hit a 13-year high with a 2.7 percent jump to $53.22 after sources told Reuters it has hired advisers to prepare a possible bid to take full control of Verizon Wireless.

Investors expected the first quarter to be difficult for corporate America after cuts in government spending. The Dow Jones industrial average (.DJI) rose 24.50 points or 0.17 percent, to close at 14,700.80. The S&P 500 (.SPX) gained 6.37 points or 0.40 percent, to finish at 1,585.16. The Nasdaq Composite (.IXIC) added 20.33 points or 0.62 percent, to close at 3,289.99. The S&P 500 climbed intraday to a high of 1,592.64 - just a tad below its record closing high of 1,593.37 - set two weeks ago - on April 11. Thursday's U.S. data gave a less worrisome view of the economy than other data of late. Initial claims for unemployment benefits in the latest week dropped 16,000 to a seasonally adjusted 339,000 compared with expectations for 351,000.

About 7.0 billion shares changed hands on the New York Stock Exchange, the Nasdaq and NYSE MKT, more than the daily average so far this year of about 6.38 billion shares. On the NYSE, advancers outnumbered decliners by a ratio about 2 to 1, while on the Nasdaq, roughly five stocks rose for every three that fell.

Stocks on Bursa Malaysia closed lower yesterday on lack of follow-up support amid unfavourable external sentiment to sustain previous day's upside momentum. Taking cue from the weak close on Wall Street overnight, FKLI spot month contract opened slightly lower this morning at 1,707.50. Today’s Support and Resistance for FKLI April contract is located around 1,704 and 1,724 respectively.

FCPO Related News (Thurs, Apr 25)

[Malaysia April 1-25 Palm Oil Exports 1.12 Mln Tons, up 4.7% on Month – Intertek]

KUALA LUMPUR, April 24 (Reuters) - Malaysian palm oil futures rose on Wednesday as buying interest surged after  earlier losses, while hopes that near-stagnant output from the world's No.2 producer would help ease inventories also underpinned sentiment. But bleak economic data that stoked concerns about a slowdown in global demand for commodities kept a lid on gains. "There hasn't been any new developments in the market so it is drifting sideways these days. Overall there is pressure from the macro side -- energy markets are under pressure, and you have China and German data not looking too good," said a trader with foreign a commodities brokerage in Malaysia.

Growth in Chinese factories slowed to a crawl as export demand dwindled, according to HSBC's flash PMI readings, while Germany, the euro zone's largest economy, saw business activity slip for the first time in five months. "Things are friendly for palm itself," the trader added. "April's exports will likely be around 1.5 million tonnes. We are looking at a 2-3 percent rise in production, which would probably drop April's end-stocks to a 1.9 million tonne level." Stocks stood at 2.17 million tonnes in March. The benchmark July contract on the Bursa Malaysia Derivatives Exchange edged up 0.8 percent to close at 2,290 ringgit ($751) per tonne. It traded between 2,260 and 2,304 ringgit. Total traded volumes stood at 24,635 lots of 25 tonnes each, lower than the average 35,000 lots.

Poor economic data from China, palm's second largest buyer, may cap gains in crude palm oil prices, analysts said. "With the latest HSBC Purchasing Manager's Index for March worse than the median expectation, concerns have been  growing with regards to the sustainability of  Chinese growth," Phillip Futures said in a note on Wednesday. Cargo surveyor data for the first 20 days of April showed that China has imported less palm products from Malaysia compared with the same period last month. Export data for April 1-25 will be released on Thursday. But near-stagnant production should help offset lower export demand and ease inventory level to below the 2 million tonne mark.

In other markets, Brent crude rose above $101 a barrel, drawing support from strong equity markets, but gains were capped by the gloomy economic data. In other vegetable oil markets, U.S. soyoil for July delivery gained 0.3 percent in late Asian trade. The most-active September soybean oil contract on the Dalian Commodities Exchange slipped 1.3 percent.           [Reuters]

Palm oil has declined 4.4% so far this month owing to concerns about the health of China’s economy. "Ramadan buying will start in May so stockpiles may be drawn down during the May-June period to around 1.9 million-2 million tons" and will likely limit further price falls, a trading executive at a Singapore-based trading company says. Buyers usually commence purchases a few months before the holy month of Ramadan–which starts in July this year. Consumption of cooking oil rises during this period as Muslims break fasts with evening feasts.

Many said palm oil exports likely rose 2.3% on month to 1.09 million tons in that period, "so this has spurred some investors to add long positions," a trading executive at a Kuala Lumpur-based commodities brokerage says. "Palm oil’s near-term technical chart seems supportive of a rebound to MYR2,330/ton," says Chandran Sinnasamy, trading head at commodities brokerage LT International; however, he adds that prices may still be looking lower in the longer term due to concerns about the health of China’s economy, a major vegoil consumer.           [Dow Jones Newswire]

Today’s Support and Resistance for benchmark July contract is located around  2,280 and 2,328 respectively.

FKLI Related News (Thurs, Apr 25)

TOKYO (Reuters) - Asian shares edged higher on Thursday, supported by views that a run of weak global economic data will encourage major central banks to keep or deepen their monetary stimulus, though dismal U.S. durable goods orders for March weighed on the dollar. Oil prices, copper and gold recovered, also helping to improve sentiment towards risk assets. Hong Kong shares (.HSI) added 0.5 percent. A 0.3 percent drop in Shanghai (.SSEC) capped the rise in the pan-Asian index. Early on Thursday, South Korea said its economy grew a seasonally adjusted 0.9 percent in the January-March period from the previous quarter, the fastest in two years and far above market expectations. The surprising growth dented expectations for a rate cut by the Bank of Korea.

Otherwise recent disappointing data in the United States, Europe and China has fueled expectations for a global slowdown during the spring for a third straight year. Global equities rose on Wednesday on strong corporate earnings and speculation that the European Central Bank will cut interest rates next week. The growing expectations of an ECB rate cut helped offset growth concerns highlighted by U.S. durable goods posting their biggest drop in seven months in March and the Ifo survey showing that German business sentiment in April fell further than the most bearish forecasts. Despite the rate cut speculation and weak euro zone data, the euro was up 0.3 percent to $1.3050 and away from Wednesday's three-week low of $1.2954.

The resilience of the single currency partly stemmed from falling yields in highly-indebted Italy and Spain and hopes Italy will break its political deadlock two months after an inconclusive election. Adrian Foster, head of financial markets research for Asia-Pacific at Rabobank International in Hong Kong, said the main factor behind an improved tone was the recent rally in the peripheral European government bond market which reflected waning fears about an euro zone implosion. Japan's Nikkei stock average (.N225) hit its highest since June 2008 earlier on Wednesday, as a weakening yen bolstered expectations for improved corporate earnings. The index was last up 0.1 percent. Most observers have welcomed an April 4 decision by the Bank of Japan to embark on a radical monetary expansion campaign That could help the global economy. The BOJ plans to inject about $1.4 trillion into the world's third-largest economy in less than two years in an effort to end two decades of stagnation.

The U.S. government's report on gross domestic product due on Friday is expected to show the economy grew at a 3.0 percent annual rate in the first quarter, rebounding from a 0.4 percent gain in the final three months of 2012. On the corporate front, of the 174 companies in the S&P 500 index that already have reported results, 68.4 percent have exceeded analysts' expectations, according to Thomson Reuters data through Wednesday morning. U.S. crude rose 0.5 percent to $91.87. a barrel and Brent was up 0.5 percent at $102.20. Spot gold jumped 1.1 percent to $1,445.45 an ounce while London copper rose 0.4 percent to $7,060 a metric ton (1.1023 tons).          [Reuters]

Bursa Malaysia closed higher yesterday in line with regional bourses, as the favorable US and European equity markets lifted investment sentiment, dealers said. A dealer said regional markets rallied sharply yesterday with the US economy continuing to recover. “Its positive for the global economy but not strong enough for the Federal Reserve to start withdrawing its stimulus,” he said. Meanwhile, European shares headed for the biggest rally since November last year.

Today’s Support and Resistance for FKLI April contract is located around 1,700 and 1,715 respectively.

FCPO Related News (Wed, Apr 24)

SINGAPORE, April 23 (Reuters) - Malaysian palm oil futures inched up on Tuesday as a drop in prices to 4-month lows in the previous session attracted some buyers, although gains were limited by slowing export demand. A preliminary reading on Tuesday showed manufacturing growth in China slowed in April, further weighing on riskier assets such as shares and some commodities after disappointing economic data last week triggered a sharp market sell-off.

But traders said palm oil prices drew some support from bargain hunting after tumbling to a 4-month low the previous day on sluggish exports and bearish external factors. "We see some bargain hunting today, but overall sentiment is still volatile especially on the macroeconomic front. Support remains at 2,250 ringgit," said a trader with a foreign commodities brokerage in Kuala Lumpur. The benchmark July contract on the Bursa Malaysia Derivatives Exchange gained 0.8 percent to close at 2,272 ringgit ($743) per tonne.

Prices fell to 2,250 ringgit on Monday, a level not seen since Dec. 14. Total traded volumes stood at 35,888 lots of 25 tonnes each, slightly more than the average 35,000 lots seen so far this year. Technical analysis showed palm oil is expected to consolidate in a range of 2,249 to 2,289 ringgit for one trading session before resuming its downtrend, Reuters market analyst Wang Tao said.  Malaysian palm oil exports for April 1-20 fell 6.4 percent  to 864,206 tonnes from 922,987 tonnes shipped during March 1-20, cargo surveyor Societe Generale de Surveillance said.

Sluggish exports could prevent end-stocks from easing below  the psychological 2-million-tonne mark, putting more pressure on palm oil prices. Inventory level fell to 2.17 million tonnes in March, down 11 percent from February's 2.44 million tonnes. In other markets, Brent crude fell below $99 a barrel after weaker-than-expected manufacturing data from China and Germany darkened the outlook for fuel demand. The flash HSBC Purchasing Managers' Index fell to 50.5 in April from 51.6 the month before as new export orders shrank in China. The PMI's 50-point level demarcates growth from contraction from the month before. In other vegetable oil markets, U.S. soyoil for July delivery edged down 0.6 percent in late Asian trade. The most-active September soybean oil contract on the Dalian Commodities Exchange fell 1 percent.          [Reuters]

Palm oil has declined 4.4% so far this month owing to concerns about the health of China’s economy. "Ramadan buying will start in May so stockpiles may be drawn down during the May-June period to around 1.9 million-2 million tons" and will likely limit further price falls, a trading executive at a Singapore-based trading company says. Buyers usually commence purchases a few months before the holy month of Ramadan–which starts in July this year. Consumption of cooking oil rises during this period as Muslims break fasts with evening feasts.           [Dow Jones Newswire]

Today’s Support and Resistance for benchmark July contract is located around 2,250 and 2,288 respectively.

FKLI Related News (Wed, Apr 24)

NEW YORK (Reuters) - U.S. stocks climbed on Tuesday in a broad rally, recovering from sharp declines sparked by a "bogus" Associated Press tweet about explosions at the White House. A false tweet by hackers of two explosions at the White House that injured U.S. President Barack Obama provoked a steep drop in stocks, before they quickly recovered minutes later. Thomson Reuters data showed the benchmark S&P 500 index fell 14.6 points, or 0.93 percent, in the space of 3 minutes when the tweet hit the market. With the S&P 500 valued at about $14.6 trillion at the time of the false tweet, the plunge briefly wiped out $136.5 billion of the index's value.

Stocks had seen a solid advance before the tweet, lifted by a host of strong corporate earnings, including Travelers Cos Inc (TRV.N), Netflix Inc (NFLX.O) and Coach Inc (COH.N). After the closing bell, Apple Inc (AAPL.O) climbed 4.9 percent to $425.95 after the iPad and iPhone maker reported second-quarter earnings and unveiled plans to double the amount of capital it returns to shareholders. The Dow Jones industrial average (.DJI) rose 152.29 points, or 1.05 percent, to close at 14,719.46. The Standard & Poor's 500 Index (.SPX) gained 16.28 points, or 1.04 percent, to finish at 1,578.78. The Nasdaq Composite Index (.IXIC) advanced 35.78 points, or 1.11 percent, to end at 3,269.33.

Shares of Netflix shot higher after the movie streaming service reported earnings that beat expectations and strong subscriber growth. Coach stock leaped after the upscale leather goods maker and retailer reported higher-than-expected quarterly sales. Earnings season has been largely positive, with more than 68.9 percent of S&P 500 companies that have reported results so far beating expectations, according to Thomson Reuters data. Housing stocks ranked among the best performers, after Barclays raised its rating on the homebuilding sector to "positive" from "neutral." The sector also got a lift from encouraging housing data, with U.S. new home sales up 1.5 percent in March. 

Volume was active, with about 6.39 billion shares traded on the New York Stock Exchange, NYSE MKT and Nasdaq, slightly above the daily average of 6.38 billion. Advancing stocks outnumbered declining ones on the NYSE by a ratio of 4 to 1, while on the Nasdaq, more than three stocks rose for every one that fell.

Bursa Malaysia closed lower yesterday weighed by concerns over external sentiment after weak manufacturing data from China, dealers said. The FTSE Bursa Malaysia KLCI (FBM KLCI) fell 6.29 points to close at 1,700.39 points compared with 1,706.68 points yesterday.  FKLI spot month contract opened higher at 1,699 following Wall Street’s jump after recovery from a Twitter-led drop.  

Today’s Support and Resistance for April contract is located around 1,693 and 1,705 respectively.

FCPO Related News (Tues, Apr 23)

Palm oil futures on Malaysia’s derivatives exchange again ease to the lowest level this year, tracking declines in CBOT soyoil futures and concerns about rising stockpiles in Malaysia as export demand slips. Cargo surveyor SGS says April 1-20 exports fell 6.4% on month to 864,206 tons, due to lower shipments to China.

Further declines in palm oil will likely be limited; dealers say CPO looks oversold after a recent selloff and some investors are looking to move back into the market at lower levels. "India has been buying consistently and will continue to buy refined palm olein cargoes as the import parity price is lower than domestic prices," says Vijay Mehta, director at Singapore-based brokerage Commodity Links, who tips stockpiles will fall in the next two months as buyers boost purchases ahead of the Islamic fasting month of Ramadan that starts in July.

Benchmark July CPO ends 1.7% down at MYR2,256/ton after easing to MYR2,250/ton, a level not seen since Dec. 14. CBOT March soyoil is down 1% at 48.69 cents/lb in screen trade.          [Dow Jones Newswire]

Today’s Support and Resistance for benchmark July contract is located around 2,250 and 2,280 respectively.

FKLI Related News (Tues, Apr 23)

NEW YORK, April 22 (Reuters) - U.S. stocks climbed on Monday as last week's sharp losses brought buyers back to the market and Microsoft Corp shares jumped after an activist investor took a stake in the company. Shares of Caterpillar rose 2.8 percent to $82.71, helping the Dow as the company said a pullback in spending by mining companies was temporary. The stock's gains came despite a lowered 2013 outlook from the world's largest maker of construction and mining equipment.

Lifting both the S&P 500 and Nasdaq, Microsoft Corp jumped 3.6 percent to $30.83 after CNBC reported that ValueAct Capital had taken a $2 billion stake in the company. The market's bounce followed the S&P 500's worst weekly loss since November and suggested to some market watchers that a much debated market correction has yet to arrive. The Dow Jones industrial average rose 19.66 points, or 0.14 percent, to 14,567.17 at the close. The Standard & Poor's 500 Index gained 7.25 points, or 0.47 percent, to 1,562.50. The Nasdaq Composite Index advanced 27.50 points, or 0.86 percent, to close at 3,233.55.

Last week's market decline came amid signs of slowing growth from China, which also led to a steep drop in commodity prices. Energy and materials shares were among the best performers of the day on the S&P 500, bouncing back from last week's big losses. S&P 500 earnings growth is forecast at 2.2 percent for the first quarter, based on results from 21 percent of the companies and estimates for the rest, Thomson Reuters data showed. That is up from an April 1 forecast of 1.5 percent growth.

Volume was roughly 5.6 billion shares traded on the New York Stock Exchange, the Nasdaq and the NYSE MKT, compared with the average daily closing volume of about 6.4 billion this year. That is a decline from much of last week, when overall volume was higher than normal. It averaged 7.3 billion shares traded for the five sessions. Advancers outpaced decliners by about 17 to 12 on the NYSE and by about 13 to 12 on the Nasdaq.          [Reuters]

Bursa Malaysia finished in positive territory yesterday on late buying interest, dealers said. The FTSE Bursa Malaysia KLCI (FBM KLCI) rose by 0.4 point to close at 1,706.68 points compared with 1,706.28 points last Friday. Mercury Securities head of research, Edmund Tham, said lack of fresh leads, coupled with the failure of Petronas to privatize MISC Bhd weighed on the market the whole day. Furthermore, he said, the market, which has already rose 100 points in the last two months, was not expected to see another big jump in the near term.          [Bernama]

FKLI spot month contract opened slightly higher this morning at 1,700.50 following gains in the U.S stocks as last week’s sharp losses brought buyers back to the market. Today’s Support and Resistance for FKLI April contract is located around 1,690 and 1,705 respectively.

FCPO Related News (Mon, Apr 22)

[ Malaysia April 1-20 Palm Oil Exports 882,469 Tons, Down 4.9% on Month –Intertek ]

SINGAPORE, April 19 (Reuters) - Malaysian palm oil futures slipped on Friday, posting a fourth straight weekly loss, as investors remained cautious in a volatile week that saw a broad sell-off across commodities. Weak economic data from the United States and China raised concerns that slowing global growth could hurt demand, triggering a flight of capital this week from markets such as crude oil and gold. Palm oil has also come under pressure after Malaysia's exports of the edible oil fell for the first 15 days in the month.

The benchmark July contract on the Bursa Malaysia Derivatives Exchange lost 0.6 percent to close at 2,294 ringgit ($756) per tonne. Prices fell to as low as 2,265 ringgit on Thursday, a level last seen on Dec. 14. For the week, prices posted a 2.2 percent loss. Total traded volumes stood at 21,308 lots of 25 tonnes each, lower than the average of 35,000 lots seen so far this year. Technical analysis showed palm oil is expected to revisit its Thursday low of 2,265 ringgit per tonne, as it may have completed a rebound from this level, Reuters market analyst Wang Tao said.  Palm oil shipments from Malaysia, the world's second-largest producer, fell 4 percent and 7.2 percent according to cargo surveyors Intertek Testing Services and Societe Generale de Surveillance, respectively.

Producers are counting on higher export demand to eat into stocks and support prices. Inventory fell to 2.17 million tonnes in March and could fall below the psychological 2-million-tonne mark this month if exports stay firm. In other markets, oil prices climbed towards $100 a barrel on Friday, recovering some ground after a steep six-day fall, although worries about lower global demand and oversupply kept a lid on the rebound.  In other vegetable oil markets, U.S. soyoil for July delivery edged down 0.4 percent in late Asian trade. The most-active September soybean oil contract on the Dalian Commodities Exchange edged up 0.3 percent.

Today’s Support and Resistance for FCPO benchmark July contract is located around 2,250 and 2,300 respectively.

FKLI Related News (Mon, Apr 22)

NEW YORK, April 19 (Reuters) - U.S. stocks rose on Friday as earnings from Google and other companies lifted tech shares, but the gains weren't enough to stop the S&P 500 from suffering its worst week since November. High volatility marked the week, with the S&P 500 falling 2.3 percent on Monday in its worst day since Nov. 7, which fueled talk that the market's long-awaited pullback had arrived. Friday's trading volume, at 6.4 billion, was the lowest of the week, but in line with the average for the year. Much of Boston, a major U.S. financial center and home to a number of the country's biggest mutual fund companies, was under virtual lockdown as police killed one suspect in the Boston Marathon bombing in a shootout and mounted house-to-house searches for a second man.

For the week, the S&P 500 ended down 2.1 percent but the index managed a finish above its 50-day moving average after ending below that level on Thursday for the first time this year. The Dow Jones industrial average rose 10.37 points, or 0.07 percent, to 14,547.51 at the close. The Standard & Poor's 500 Index gained 13.64 points, or 0.88 percent, to finish at 1,555.25. The Nasdaq Composite Index rose 39.69 points, or 1.25 percent, to close at 3,206.06. For the week, the Dow slid 2.1 percent, while the Nasdaq lost 2.7 percent. Markets were roiled earlier in the week by the plunge in gold prices and slower growth out of China, the world's second-largest economy.

Friday's volume totalled 6.4 billion shares traded on the New York Stock Exchange, the Nasdaq and the NYSE MKT, in line with the average daily closing volume of 6.4 billion this year. Advancers outnumbered decliners on the New York Stock Exchange by a ratio of about 11 to 4, while on the Nasdaq, nearly 17 stocks rose for every eight that fell.          [Reuters]

The FTSE Bursa Malaysia Kuala Lumpur Composite Index (FBM KLCI) slipped into a shallow profit-taking correction last week as local fund support on selected index heavyweights cushioned downside. The correction was sparked by heavy falls on commodity and stock markets abroad due to concerns over slowing global growth after China reported a slower-than-expected first quarter gross domestic (GDP) product growth. Stocks extended profit-taking consolidation amid lacklustre trade on Friday as investors refrained from taking up fresh positions ahead of the weekend. The benchmark blue-chip index ended flat at 1,706.28 after being stuck between early high of 1,710.43 and low of 1,702.6, as losers beat gainers 398 to 269 on much slower trade totalling 776.4 million shares worth RM1.5 billion.          [Business Times]

FKLI spot month contract opened slightly higher this morning at 1,706 following gains in U.S. stocks on Friday as earnings from Google and other companies lifted tech shares. Today’s Support and Resistance for April contract is located around 1,690 and 1,707 respectively.

FCPO Related News (Thurs, Apr 18)

SINGAPORE, April 17 (Reuters) - Malaysian palm oil futures fell to a 4-month low on Wednesday, as investors refrained from taking risky positions after this week's rout in commodities and ahead of export data. Risky assets such as gold and crude oil rebounded slightly from massive sell-offs this week, but the price outlook remained volatile as concerns lingered over slowing global growth.

Palm oil traders are now waiting for further export numbers as stocks of the edible oil could ease further on higher shipments and weak production. Inventory levels fell to 2.17 million tonnes in March, the lowest in seven months. "Uncertainty still weighs on the market, it looks like it will be this way at least for the week," said a trader with a domestic commodities brokerage in Malaysia. The benchmark July contract on the Bursa Malaysia Derivatives Exchange lost 1.1 percent to close at 2,276 ringgit ($760) per tonne. Prices fell as low as 2,269 ringgit, a level last seen on Dec. 14. Total traded volumes stood at 38,934 lots of 25 tonnes each,slightly higher than the average 35,000 lots seen so far this year.  

Technical analysis showed a bearish target at 2,249 ringgit will be confirmed as palm oil dropped below its Monday low of 2,281 ringgit, Reuters market analyst Wang Tao said.

Market participant will be hoping for some improvement in Malaysian palm oil exports for the first 20 days of the month. Shipments for the first half of April dropped 4 percent from a month ago, according to cargo surveyor Intertek Testing Services. Another cargo surveyor, Societe Generale de Surveillance, reported a steeper 7-percent fall. In other markets, Brent crude slid towards $99 per barrel on Wednesday, weighed down by the prospect of sluggish fuel demand in top consumers the United States and China and rising stockpiles of U.S. crude. In other vegetable oil markets, U.S. soyoil for May delivery  fell 0.2 percent in late Asian trade. The most-active September soybean oil contract on the Dalian Commodities Exchange gained 0.6 percent.          [Reuters]

Today’s Support and Resistance for the new benchmark July contract is located around 2,260 and 2,300 respectively.

FKLI Related News (Thurs, Apr 18)

Investors struggled through a third straight day of volatility, as weak economic data from Europe and disappointing earnings reports in the U.S. prompted a pullback in stocks, the euro and oil prices. The Dow Jones Industrial Average finished with a decline of 138.19 points, or 0.9%, to 14618.59, for a third straight day of triple-digit moves for the blue-chip index. On Monday, the Dow suffered its biggest one-day decline this year, falling 266 points, before recovering most of those losses on Tuesday. The three-day run of triple-digit moves is the first since late February, when an inconclusive Italian election cast uncertainty over Europe's debt crisis.

The Standard & Poor's 500-stock index gave up 22.56 points, or 1.4%, to 1552.01, while the Nasdaq NDAQ -1.19%Composite Index slid 59.96 points, or 1.8%, to 3204.67. As investors sold stocks, they sought the perceived safety of  Treasurys, which pushed the yield on the 10-year note down to 1.702%. As Treasury prices rise, the yield falls. In addition, the weakness in Europe sent the euro down 1.1% against the greenback, to just above the $1.30 level.  Leading the stock declines were technology, energy and financial shares, on a day that saw all 10 sectors of the S&P 500 fall and about 94% of the S&P 500 stocks trading in negative territory.

Among blue chips, Bank of America BAC -4.72%fell 58 cents, or 4.7%, to $11.70, after the bank reported first-quarter earnings that missed analyst expectations, with losses widening in its consumer real-estate division. Fellow financial companies also slid, including J.P. Morgan Chase. Meanwhile, tech companies Hewlett-Packard HPQ -2.57%and Cisco Systems CSCO -2.50%declined 2.6% and 2.5% respectively, while Apple AAPL -5.50%was one of the weakest stocks in the S&P 500. Limiting the declines were the strongest sectors of the year: health-care, utilities and consumer-staples stocks, known as defensive sectors, which are less tied to economic swings.

The Stoxx Europe 600 fell for a fourth straight day, declining 1.5% to a 2013 closing low, amid more signs that the region's economy is slowing. February construction output in the euro zone fell on the month, a fourth straight decline. In London, the FTSE 100 shed 1% after U.K. unemployment rose to 7.9%, higher than expectations, while the number of unemployed increased in the three months ended in February to the highest level in nearly 18 months. In Asia, Japan's Nikkei Stock Average rebounded on the back of a weakening yen, gaining 1.2% after falling 2.4% over the previous three sessions. Gold slipped 0.3%, to settle at $1,382.20 a troy ounce, while silver fell to a more than two-year low. Crude oil tumbled 2.3%, to $86.68 a barrel, a four-month low. The dollar surged against the euro and edged up against the yen.

Stocks on Bursa Malaysia closed significantly higher yesterday boosted by persistent buying of blue-chips and heavyweight counters as continued bullish sentiment among investors helped the local bourse remain in the positive territory. FKLI spot month contract opened slightly higher this morning at 1,702.

Today’s Support and Resistance for April contract is located around 1,690 and 1,707 respectively.

FCPO Related News (Wed, Apr 17)

SINGAPORE, April 16 (Reuters) - Malaysian palm oil futures ended flat on Tuesday, as a recent commodities rout that dented investors' appetite for riskier assets offset earlier gains on bargain hunting. Gold fell to its lowest in more than two years and Brent crude dropped below $100 per barrel for the first time since July as a shaky global economic outlook drove investors to liquidate assets, extending a sell-off in commodities into a third day.

The weak sentiment spread to the vegetable oil markets, with palm oil falling to a low of 2,281 ringgit per tonne on Monday its weakest since December, and the most active Dalian soybean oil contract tumbling to the lowest since its initiation. "The market is quiet today due to uncertain factors in the external markets. Prices look to be supported at the 2,250 ringgit level and face resistance at 2,320 ringgit," said a trader with foreign commodities brokerage in Malaysia.

The new benchmark July contract on the Bursa Malaysia Derivatives Exchange ended flat at 2,301 ringgit ($757)per tonne.     Total traded volumes stood at 40,241 lots of 25 tonnes each, higher than the average 35,000 lots.     Technical analysis showed a bearish target at 2,249 ringgit per tonne remained unchanged for Malaysian palm oil, Reuters market analyst Wang Tao said. Malaysian palm oil shipments for the first half of the month fell by 4 percent from a month ago, said one cargo surveyor Intertek Testing Services, while another surveyor Societe Generale de Surveillance reported a steeper 7.2 percent drop.

         

Market participants will be keeping a close watch on the next export data for the April 1 to 20 period to gauge stocks level. A 10 percent increase in shipments in March helped ease inventory level to 2.17 million tonnes, the lowest in seven months. In other markets, Brent crude sank below $100 a barrel for the first time in nine months on Tuesday in a broad commodities rout after recent weak data from China and the United States spurred worries about oil demand.

   

In other vegetable oil markets, U.S. soyoil for May delivery  gained 0.8 percent in late Asian trade. The most-active September soybean oil contract on the Dalian Commodities Exchange recouped some losses after falling as much as 2.4 percent earlier.          [Reuters]

Crude palm oil futures on Malaysia’s derivatives exchange end flat on subdued buying interest in the physical market at a time when oil-palm yields in Southeast Asia are improving and capping palm oil’s upside. The market will likely "trade sideways with a downward bias for the rest of the week," a trading executive at a foreign brokerage says tipping the market to hover around MYR2,250/ton support at MYR2,315/ton cap on Wednesday. New benchmark July CPO ends flat at MYR2,301/ton.           [Dow Jones Newswire]

Today’s Support and Resistance for benchmark July contract is located around 2,286 and 2,327 respectively.

FKLI Related News (Wed, Apr 17)

NEW YORK, April 16 (Reuters) - U.S. stocks jumped more than 1 percent on Tuesday, a day after their worst decline since November, as gold prices rebounded and earnings from Coca-Cola and Johnson & Johnson improved the outlook for first-quarter results. Inflation data, which reinforced expectations that the Federal Reserve will keep its stimulus plan in place, added to bullish sentiment.

The price of gold jumped after its record daily drop in dollar terms on Monday. The SPDR Gold Shares ETF, which fell 8.8 percent on record volume Monday, rose 1.1 percent to $132.80. The S&P 500 materials index climbed 1.9 percent, leading the index higher. The market's advance followed the S&P 500's drop of more than 2 percent drop on Monday, giving the index its worst one-day percentage loss since Nov. 7. The S&P 500 is up 10.4 percent since the start of the year after enjoying a strong first-quarter run, partly as a result of the Fed's continued stimulus efforts.

Coca-Cola Co shares rose 5.7 percent to $42.37, after rising intraday to $42.48, their highest since 1998, and giving the Dow its biggest boost. The Dow Jones industrial average jumped 157.58 points, or 1.08 percent, to 14,756.78 at the close. On Monday, a drop in the price of gold and other commodities triggered a sharp selloff in stocks. But stocks fell further late in the session after news of two fatal explosions near the finish line of the Boston Marathon. The S&P 500's slide on Monday took the index back to a range it had held for about a month. Yet the index on Tuesday closed above its 14-day moving average.

Analysts' positive views on basic materials companies also helped the sector. Further supporting stocks, data showed the U.S. Consumer Price Index fell in March for the first time in four months, giving the Federal Reserve room to maintain its monetary stimulus to speed up economic growth. A separate report showed housing starts rose 7.0 percent last month to an annual rate of 1.04 million units, the highest in nearly five years. An index of housing stocks jumped 2.6 percent. Among other earnings, Goldman Sachs reported higher quarterly profit but said revenue from client trading fell 10 percent, raising questions about the health of its biggest money maker.           [Reuters]

Bursa Malaysia closed off its lows yesterday as the KLCI regained lost ground to close in positive zone spurred by local buying support, despite global sentiment being spooked by the Boston Marathon bomb blast, coupled with the disappointing economic growth in China. FKLI spot month contract opened higher this morning at 1,703 following Wall Street’s rebound, boosted by gold, earnings and data.

Today’s Support and Resistance for April contract is located around 1,690 and 1,710 respectively.

FCPO Related News (Tues, Apr 16)

[Malaysia's April 1-15 palm oil exports down 7.2 pct –SGS]

SINGAPORE, April 15 (Reuters) - Malaysian palm oil futures fell to a 4-month low on Monday, hurt by easing exports and disappointing Chinese data that raised concerns about the outlook for global commodity demand.Slower-than-expected economic growth in China, the world's second-largest economy, triggered broad-based selloffs in commodities markets such as gold and crude oil.

The most active soybean oil contract in Dalian tumbled to the lowest since its initiation last September, putting further pressure on palm oil especially after cargo surveyor Intertek Testing Services reported slower exports for the first half of April compared to the same period a month ago. "Exports were slower than expected, but the market is also affected by the poor performance in other commodities," said a trader with local commodities brokerage in Malaysia. "If the global economy is not good, the buying strength won't be there." The benchmark June contract on the Bursa Malaysia Derivatives Exchange lost 2.2 percent to close at 2,294 ringgit ($755) per tonne. Prices earlier fell to 2,281 ringgit, the lowest seen since Dec. 14. Total traded volumes stood at 37,179 lots of 25 tonnes each, higher than the average 35,000 lots.

China's economy grew 7.7 percent in the first quarter, undershooting market expectations for an 8.0 percent expansion and frustrating investors hoping the economy would rebound after posting its weakest growth in 13 years in 2012. On top of that, persisting worries that a bird flu outbreak in China could hurt soy demand also weighed on vegetable oil markets, with the most active September soybean oil contract on the Dalian Commodities Exchange falling by as much as 2.5 percent. Soyoil is a close competitor of palm oil and a fall in prices of the former could wean away demand from the latter. U.S. soyoil for May delivery lost 0.8 percent in late Asian trade.

Technical analysis showed palm oil is expected to drop to 2,249 ringgit per tonne, as indicated by its wave pattern and a Fibonacci projection analysis, said Reuters market analyst Wang Tao.

Malaysia, the world's No.2 palm oil producer, will set its crude palm oil export tax for May at 4.5 percent, unchanged from April, a government circular showed on Monday. Official data showed that stocks in the southeast Asian country posted a higher-than-expected decline to 2.17 million tonnes in March, helped by a 10 percent increase in exports. In other markets, Brent crude oil sank below $101 a barrel on Monday to a nine-month low after bleak Chinese and U.S. data stoked worries of a slowdown in economic growth in the world's top oil consumers.          [Reuters]

Today’s Support and Resistance for benchmark July contract is located around 2,280 and 2,325 respectively.