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Palm oil rises for 6th session, closes at highest level in nearly 3 months



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Updates with closing price

KUALA LUMPUR, Sept 25 (Reuters) -Malaysian palm oil futures extended gains to a sixth straight session on Wednesday, closing at their highest level in over two-and-a-half months, asstrength in Dalian contracts outweighed profit-taking in other rival oils.

The benchmark palm oil contract FCPOc3 for December delivery on the Bursa Malaysia Derivatives Exchange climbed56 ringgit, or 1.4%, to 4,044 ringgit ($979.89) a metric ton to close at its highest since July 5.

The contract has risen 8.24% over thelast six sessions.

Malaysian palm oil futures are still on the uptrend as the Chinese government's stimulus announcement has resulted in continuous strength in Dalian oils, a Kuala Lumpur-based trader said.

"We are also seeing some profit-taking on rival oils' long contracts," the trader said.

Dalian's most-active soyoil contract DBYcv1 rose 0.58%,while its palm oil contract DCPcv1 added 1.38%.Soyoil prices on the Chicago Board of Trade BOcv1 fell 0.23%.

Palm oil tracks price movements in rival edible oils as they compete for a share of the global vegetable oils market.

The ringgit MYR=, palm's currency of trade, strengthened 0.55%against the U.S. dollar, making the commodity more expensive for buyers holding foreign currencies.

Cargo surveyors estimate exports of Malaysian palm oil products rose between13% and13.9% during Sept. 1-25, compared with the same period a month ago.

Indonesia's palm oil exports fell 36% to 2.241 million metric tons in July from a year earlier, data from the Indonesian palm oil association GAPKI showed.

Oil prices slipped on Wednesday as investors reassessed whether China's latest stimulus plans will be able to boost its economy and spur fuel demand in the world's largest crude importer. O/R

Weaker crude oil futures make palm a less attractive option for biodiesel feedstock.

($1 = 4.1270 ringgit)



Reporting by Ashley Tang; Editing by Subhranshu Sahu, Sonia Cheema and Maju Samuel

For a table on Malaysian physical palm oil prices, including refined oil, Reuters Terminal users can double click on or type OILS/MY01. * To view freight rates from Peninsula Malaysia/Sumatra to China, India, Pakistan and Rotterdam, please key in OILS/ASIA2 and press enter, or double click between the brackets. * Reuters Terminal users can see cash and futures edible oil prices by double clicking on the codes in the brackets: To go to the next page in the same chain, hit F12. To go back, hit F11. Vegetable oils OILS/ASIA1 Malaysian palm oil exports SGSPALM1 CBOT soyoil futures 0#BO: CBOT soybean futures 0#S: Indian solvent SOLVENT01 Dalian Commodity Exchange DC/MENU Dalian soyoil futures 0#DBY: Dalian refined palm oil futures 0#DCP: Zhengzhou rapeseed oil 0#COI: European edible oil prices/trades OILS/E
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