PARIS - Palm oil prices on Europe's vegetable oils market rose on Friday following a two-month high for Malaysian futures, deterring most physical buyers who were also awaiting U.S. government crop forecasts.
Crude palm oil offers were marked up by between $5 and $15 a metric ton, with August delivery quoted up $10 at $740 a metric ton CIF Rotterdam.
Benchmark Malaysian futures ended 1.7 percent higher after touching a two-month high, as attention focused on tight physical supplies attributed to the impact of the El Nino weather pattern.
One trade was reported in crude palm oil in Europe and some deals were cited in cheaper RBD palm olein (see below).
Liquid oil offers joined the broad rally, although gains were trimmed in afternoon trade following weakness in the U.S. soy complex.
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EU rapeseed oil offers were 2 to 6 euros a metric ton higher on the day by the end of the session.
U.S. soy futures edged lower in U.S. daytime trading on Friday as traders adjusted positions before U.S. Department of Agriculture crop forecasts.
The USDA report, released at the end of the European session, is being watched to see if the agency raises its outlook for U.S. soybean production and exports, and how this will impact overall supply.
