Palm Oil Hits 2-Year Low
Palm oil fell to its lowest level in two years Wednesday on fallin crude lowering export potential, and fears that the U.S government plan to invest $250 billion in banks won't be enough to spur economic growth.
Palm oil for December delivery fell to 1,738 ringgit/tonne ($495) on the Malaysian Derivatives Exchange and Chinese futures on the Dalian dropped their exchange-imposed limit.
Crude oil was $1/barrel lower at $77.63, which is curbing export demand for palm oil. Malaysian exports fell 9.1 percent to 560,210 tonnes in the first half of October compared with the same period in September.
Crude oil prices have almost halved since the beginning of July.
Palm oil for December delivery fell to 1,738 ringgit/tonne ($495) on the Malaysian Derivatives Exchange and Chinese futures on the Dalian dropped their exchange-imposed limit.
Crude oil was $1/barrel lower at $77.63, which is curbing export demand for palm oil. Malaysian exports fell 9.1 percent to 560,210 tonnes in the first half of October compared with the same period in September.
Crude oil prices have almost halved since the beginning of July.
