Palm oil, used in food and fuel, climbed to the highest in more than a year in Malaysia as South American soybean supplies declined. In China, palm and soybean oil rose to the costliest in more than six months. The June-delivery contract advanced 1.3 percent to end at 3,604 ringgit ($1,176) a metric ton on the Malaysia Derivatives Exchange, the most expensive close for a most-active contract since March 7, 2011. Futures advanced 5 percent this week, the fifth straight gain and the longest run in more than 16 months. Speculation stockpiles in Malaysia may drop also spurred buying. Palm oil is “rising mainly on anticipation of bullish stock data and also on the back of the increase of soybean prices,” Ivy Ng, an analyst with CIMB Group Holdings Bhd., said by phone from Kuala Lumpur today. With Malaysian inventory data on April 10, “people will buy in anticipation of that news as well as the lower soybean crop.”
Stockpiles (PASTTOTL) in Malaysia fell 2.4 percent to 2.01 million tons in March, from 2.06 million tons in February, according the median of estimates in a Bloomberg survey of four analysts and two plantation companies. The Malaysian Palm Oil Board will release data for inventories, output and exports.
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