VEGOILS-Palm gains for second straight session, tracking Chinese oils
* Palm sees second consecutive day of gains
* Chinese rival oils holds up palm market -trader
* Strong demand needed to lift prices June-August -trader
* May 1 - 25 exports gain 8-11 pct - ITS & SGS
(Updates latest prices, quotes)
By Emily Chow
KUALA LUMPUR, May 25 (Reuters) - Malaysian palm oil futures
rose for a second consecutive day, making their sharpest gains
in three weeks and outpacing a stronger ringgit as they
track improving rival oils in China.
The ringgit, in which palm oil is traded, strengthened 0.5
percent to reach 4.1010 against the dollar in the evening,
making palm more expensive for foreign currency holders.
Palm prices had earlier recorded two weeks of losses
tracking China's commodities sell-off.
The palm oil contract for August delivery on the
Bursa Malaysia Derivatives Exchange gained 1.7 percent to 2,545
ringgit ($620) per tonne at the closing trade, after reaching an
intraday high of 2,547 ringgit.
Traded volumes stood at 48,464 lots of 25 tonnes each on
Wednesday evening, versus a 2015 daily average of 44,600.
"The market most likely rebounded on an oversold
situation... And the Chinese markets have stopped dropping,"
said a trader in Kuala Lumpur, referring to palm's rival
vegetable oils on the Dalian Commodity Exchange.
"We may see a buy off tomorrow as most of the Chinese market
is up."
Malaysian palm oil shipments rose 8-11 percent over May 1-25
compared with the previous month, according to data from cargo
surveyors on Wednesday, but traders say double-digit monthly
growth is required to support benchmark prices.
"Post Ramadan the market will come down, we really need
strong demand then because we will see strong production from
June to August," said another trader from Kuala Lumpur.
The holy fasting month, which begins in June, typically
boosts consumption of palm oil for cooking, as feasts take place
when Muslims break their fast leading up to Eid.
In related vegetable oils, the Chicago Board of Trade soyoil
contract for July was up 0.8 percent, while the September
soybean oil contract on the Dalian Commodity Exchange
rose 0.9 percent. Dalian's most actively traded September
contract for palm olein gained 0.8 percent.
Palm, soy and crude oil prices at 1036 GMT:
Contract Month Last Change Low High Volume
MY PALM OIL JUN6 2571 +34.00 2516 2578 601
MY PALM OIL JUL6 2568 +43.00 2501 2569 5641
MY PALM OIL AUG6 2544 +43.00 2477 2547 24411
CHINA PALM OLEIN SEP6 5074 +42.00 5032 5090 656106
CHINA SOYOIL SEP6 5828 +50.00 5782 5848 499658
CBOT SOY OIL JUL6 31.14 +0.10 30.81 31.2 6904
INDIA PALM OIL MAY6 529.00 +0.10 524.20 529.5 576
INDIA SOYOIL JUN6 637.3 -2.75 631.5 640 64620
NYMEX CRUDE JUL6 49.15 +0.53 49.03 49.45 75368
Palm oil prices in Malaysian ringgit per tonne
CBOT soy oil in U.S. cents per pound
Dalian soy oil and RBD palm olein in Chinese yuan per tonne
India soy oil in Indian rupee per 10 kg
Crude in U.S. dollars per barrel
($1 = 4.1010 ringgit)
($1 = 67.3850 Indian rupees)
($1 = 6.5600 Chinese yuan)
(Reporting by Emily Chow; Editing by Ruth Pitchford)