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Crude Palm Oil – Weekly Report CPO – Weekly FOR PRIVATE CIRCULATION ONLY Bursa Malaysia - CPO Contract Month Open High Low Close Δ Close % Change Vol (MT) OI Δ OI % Change November-11 3010 3140 3130 3120 97 3.11 283 684 -90 -11.63 December-11 2996 3160 3120 3146 125 3.97 7349 10296 -2834 -21.58 January-12 2984 3160 3100 3135 122 3.89 55808 31072 2174 7.52 February-12 2983 3156 3098 3135 115 3.67 24462 21373 3262 18.01 March-12 2996 3148 3092 3128 112 3.58 10716 12435 811 6.98 Source: Bursa Malaysia MCX - CPO Contract Month Open High Low Close Δ Close % Change Vol (lots) OI(lots) Δ OI % Change November-11 480 494.4 479.6 492.3 12.3 2.50 4563 2041 -806 -28.3105 December-11 481.4 498.5 480.6 496.2 15.1 3.04 5903 6307 516 8.910378 January-12 482.6 502.7 481.6 500.4 18.2 3.64 4220 4056 988 32.20339 Source: MCX 1 lot = 10MT International Oils (US$/M.T) C&F Mumbai Friday Last Week Change 1. RBD Palmolein FOB Malaysia/Indonesia 1,060 1,035 25 2. RBD Palmolein C&F Mumbai 1,100 1,050 50 3. Crude Palm Oil(CPO) FOB Indonesia 970 950 20 4. Crude Palm Oil(CPO)C&F Mumbai 1,000 980 20 5. Soya Degum (Crude) CIF Mumbai 1,192 1,200 -8 6. Sunflower Oil (Crude) CIF Mumbai 1,185 1,180 5 7. Castor Oil (First Grade) FOB Kandla (Export) 1,850 1,830 20 Imported Oils (Rs./M.T.) Friday Last Week Change 1. RBD Palmolein 54,500 53,500 1000 2. Crude Degummed Soybean Oil (Ex-Mumbai) 59,500 58,500 1000 3. Crude Palm Oil (5%) (Ex-Kandla) 49,400 48,000 1400 Source: SEA MCX - CPO Spot Price This week Last Week Change 500 481 19 Source: MCX 14th November Please See Disclaimer on the Last Page CPO Weekly Crude Palm Oil – Weekly Report Market Review: CPO - Malaysia Prices of CPO closed up on fresh buying on Bursa Malaysia. Price of benchmark January contract gained by 3.89% last week with gaining open interest indicating long accumulation. Volumes were high during the last week. Malaysian palm oil futures climbed to a near five-month high as sentiment on euro zone debt problems improved, with supply and demand fundamentals offering further support for the edible oil. The market is pretty firm, everything is up because the sovereign debt issue in Europe abated temporarily. Asian stocks and the euro rose on Monday on hopes that new technocratic leaders in Italy and Greece will take decisive action to save their indebted nations from bankruptcy and fend off a wider financial meltdown in the euro zone. Many other commodities rose as risk sentiment improved. Palm oil sentiment is improving, despite the macro outlook, due to lower production expectations from the fourth quarter, as dominant Southeast Asian producers enter the rainy season. A weaker version of La Nina may also reappear this year and if the weather pattern develops at the end of this year, it could coincide with the rainy season in top palm oil producers Indonesia and Malaysia. Cargo surveyors Intertek Testing Services and Societe Generale de Surveillance issue Malaysian palm oil exports data for Nov. 1-15 on Tuesday. The lower-than-expected palm oil stocks at end-Oct will reinforce the current strength in CPO price, the root cause of which is worries over weather uncertainties. But we do not expect the weather concerns to be sustained beyond 1Q12 when La Nina is expected to go away. Mr. Dorab Mistry's Paper presented at Guangzhou on 13th November, 2011 • Erratic weather that is slowing palm oil output growth and strong demand will lift benchmark Malaysian futures to 3,300 ringgit in January • Forecast that palm oil would reach 4,000 ringgit by mid-2012 on the view the world will not plunge into a recession due to resilient growth in Asia • The weather in Malaysia and in Indonesia has turned far too wet and this leads to flooding, slower harvesting and other related problems, referring to La Nina-driven rains striking at the same time as the monsoon season at the end of the year 14th November Please See Disclaimer on the Last Page CPO Weekly Crude Palm Oil – Weekly Report • Malaysia's 2011 output forecast to 18.8 million tonnes from 19 tonnes previously • Indonesia, the world's largest palm oil producer, Mistry also cut estimates to 25.2 million tonnes from 25.5 million tonnes. • From November this year, we shall see a drawdown in palm oil stocks. It will become a function of price and of spreads to keep stocks in the second half of 2012 at a workable level Malaysia's Nov 1-10 palm oil exports down 6 pct-SGS SINGAPORE - Exports of Malaysian palm oil products for Nov 1-10 fell 6.0 percent to 457,696 tonnes from 486,882 tonnes shipped during Oct 1-10, cargo surveyor Societe Generale de Surveillance said. Breakdown of SGS palm export figures for Nov 1- 10 compared to a month ago (in tonnes): PALM PRODUCTS Nov 1-10 Oct 1-10 Crude palm oil 118,975 124,500 RBD palm oil 48,882 34,698 RBD palm olein 211,799 171,837 RBD palm stearin 27,470 71,691 Crude palm kernel oil 13,850 11,535 Processed palm kernel oil 6,850 19,393 Oleochemicals 5,670 15,464 Price Outlook CPO- Malaysia CPO has traded firm as per our expectation last week. Prices were in a pullback mode with short term fundamentals being firm on export demand. We expect price (Bursa Malaysia – January contract) to gain till 3100-3150 ringgits in the current week. Our outlook for medium term continues to be weak with resistance being 3150 ringgits and support of 2900 ringgits. CPO- MCX We expect prices to be firm for MCX November contract as prices gained on Bursa Malaysia with tandem to international market. We expect prices to test the resistance of Rs 505-510 and support is Rs 485-490 for MCX November contract. 14th November Please See Disclaimer on the Last Page CPO Weekly Crude Palm Oil – Weekly Report Faiyaz Hudani Dharmesh Bhatia Sr.Research analyst- Spices, Palm Oil AVP Research- Technical Analyst email@example.com firstname.lastname@example.org +91-22-66528837 +91-22-66528846 Sudha R. Acharya Amit Sajeja Research analyst- Edible Oil, Pulses, Sr.Research analyst- Technical Analyst Grains email@example.com firstname.lastname@example.org +91-22-66528847 +91-22-66528809 Madhavi Mehta Ajay Baheti Research analyst- Energy, Bullion Associate Research- Technical Analyst email@example.com firstname.lastname@example.org +91-22-66528809 +91-22-66528845 Priyanka Jhaveri Research analyst- Base Metals email@example.com +91-22-66528848 Disclaimer This document is notfor public distribution and has been furnished to you solely for yourinformation and must not be reproduced or redistributed to any other person.Persons into whose possession this document may come are required to observethese restrictions. This material is forthe personal information of the authorized recipient, and we are not soliciting any action based upon it. 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"Crude Palm Oil Weekly Report"