SINGAPORE, Dec 6: Malaysia’s crude palm oil futures extended gains in active trade on Tuesday on technical buying and expectations of better exports in December. The third-month February contract on Bursa Malaysia Derivatives ended 11 ringgit higher at 1,413 ringgit ($373.81) a ton after trading as low as 1,403 ringgit.

Some dealers said technical buying had intensified with the contract holding above a key support of 1,380 ringgit. Immediate resistance was pegged at 1,420 ringgit.

Overall volume was heavy at 5,920 lots.

Dealers saw active buying in the physical sector on expectations exports could rebound in December as main consumers stocked up ahead of year-end.

A firm soyaoil market also offered support. December soyaoil was 0.37 cents per pound higher at 21.66 cents in electronic trading, keeping the gains made in Chicago Board of Trade.

Some companies have been buying oil in the product market. What I heard that exports in the first 10 days will be slightly better than the previous month, said one Kuala Lumpur dealer.

Cargo surveyors ITS and SGS will release their export estimates for Dec. 1 to 10 next week.

SGS, whose numbers are more closely watched by the market, put exports at 285,482 tons in the first 10 days of November, down from 473,891 tons in Oct. 1-10.

In Malaysia’s physical crude palm oil market, December contract was offered at 1,400 ringgit a ton against bids of 1,392.50 ringgit in southern and central regions.

Deals were reported at 1,390 to 1,392.50 ringgit.

January (south/central) was also offered at 1,400 ringgit a ton against bids of 1,392.50 ringgit. There were no deals.—Reuters