Malaysian palm oil climbs with firmer US soyoil but profits are taken.

The price of Malaysian palm oil futures rose more than 1% on Wednesday, as trading resumed following a long holiday. This was boosted by a stronger Chicago soyoil. However, profit-taking dampened the upside.

By midday, the benchmark?palm-oil contract for August delivery at the Bursa Derivatives exchange had gained 66 Ringgit (1.46%) to 4,601 Ringgit ($1,156.03) per metric ton. The contract rose 0.04% during the previous session.

A Kuala Lumpur based trader stated that the market experienced a post-holiday rallies. This was largely due to stronger oilseeds such as Chicago soybean oil. Profit-taking however, limited gains.

Dalian's palm oil contract, which is the most active soyoil contract, fell by 0.33%. Prices of soyoil on the Chicago Board of Trade rose by 0.59%.

Palm oil follows the 'price movements' of rival edible oils as it competes to gain a share of the global vegetable oils market. Oil prices increased, continuing gains from the previous session. Hostilities in the Middle East flared up again with Iran firing missiles against Kuwait and Bahrain. Diplomatic talks between Iran and America showed little progress.

Palm oil is a better option as a biodiesel feedstock because crude oil futures are stronger.

The palm currency, the ringgit, fell by 0.43% to the dollar. This made the commodity more affordable for buyers who hold foreign currencies. India's imports of palm oil rose modestly from a four-month low the previous month in May, but they remained below average as refiners switched to rival soyoil when palm's price edge?over competing oils widened, according to five dealers. Indonesia exported 7.72 mn tonne of crude and refined Palm oil in the first quarter of 2026. This is up by 20.38% from a year ago, according to data released by the statistics bureau. Technical analyst Wang Tao predicted that palm oil could fall to 4,501 ringgit a ton after failing to break through a resistance of 4,583 ringgit.

(source: Reuters)