Ref Soyaoil yesterday traded with the positive node and settled 0.59% up at 719.35 powered by higher overseas prices amid firm spot demand and tight domestic supplies. Soybean stocks have dropped because of aggressive crushing by millers earlier this year to feed robust export demand for meal. With an estimated drop in rapeseed output, India, which is a big importer of vegetable oils, will be more vulnerable to world prices. As per latest data compiled by Solvent Extractors Association of India , the import data of Vegetable oils (edible & non-edible) during May 2012 is reported at 8.96 lakh tonnes compared to 6.64 lakh tonnes in the last year same period. This is consisting of 8.83 lakh tonnes of edible oils and 0.13 lakh tonnes on non-edible oils i.e. up by 35%. This is mainly due to strong imports of RBD Palmoil in domestic market. Data suggested that the total import of RBD Palmolein increased by 97% and reported at 10.84 lakh tonnes compared to 5.51 lakh tonnes during the same period of last year. Moreover, the current stock of edible oils as on 1st June, 2012 at various ports is estimated at 8.90 lakh tonnes. At the Indore spot market soyoil edged up by 0.5 rupee to 715.9 rupees 10 kgs. In yesterday's trading session Ref Soyaoil has touched the low of 716.9 after opening at 717.3, and finally settled at 719.35. For today's session market is looking to take support at 717.2, a break below could see a test of 715.1 and where as resistance is now likely to be seen at 721.2, a move above could see prices testing 723.
Ref soyaoil trading range for the day is 715.08-722.98.
Ref soyoil rose powered by higher overseas prices amid firm spot demand and tight domestic supplies.
The area under major kharif oilseed has been declined by almost 31% due to poor sowing of soyabean and castorseed.
The current stock of edible oils as on 1st June, 2012 at various ports is estimated at 8.90 lakh tonnes.
At the Indore spot market soyoil edged up by 0.5 rupee to 715.9 rupees 10 kgs.
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