Quotations for palm oil fell by 6%

2020-03-02 12:06:05
Machine translation
Quotations for palm oil fell by 6%

Friday the drop in prices of Brent crude oil below the psychological level of 50 $/barrel gave a powerful impetus to lower prices for vegetable oils. Although later the price of oil has played 3.5% and rebounded to 51.4 $/barrel.

 

Panic in the stock markets apply to commodity exchange.Traders on the stock exchange in Malaysia in p’Friday in anticipation of further falling prices actively sold the futures, despite significant losses, resulting in palm oil fell by 6% to 2319 Ringgits/t or 551 $/ton, losing a week 8% of the price.

 

Due to the epidemic coronavirus reduction in demand from China and the reduction of purchases by India in anticipation of further price declines continue to put pressure on the markets.

 

the Government of Indonesia for the stimulation of demand has reduced in March the export duty on palm oil for 3 $/t

 

May futures for soybean oil in Chicago on Friday fell by 2% to 626 $/MT, but later rebounded to 641,7 $/t

 

at the same time soybean futures for the week lost 8% on Friday fell to 8-year low, but at the end of trading was restored to the 330,7 $/ton, slightly above Friday's opening level.

 

Falling markets and soval palm oil puts pressure on prices of Ukrainian sunflower oil, which have fallen by 10-15 $/t to 670-680 $/t FOB for shipments in April-may. As a consequence, the purchasing prices for sunflower in Ukraine has fallen by 500-600 UAH/t to 9600-10200 UAH/t with delivery to the plant.

 

To support processing industry and provide it with sufficient volume of raw materials, the Ministry of agriculture of Russia, despite a record harvest, offered to temporarily increase the export duty on sunflower seeds, which is currently 6.5%, which will result in lower purchasing prices for sunflower oil.

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