KUALA LUMPUR, Nov 27: Malaysian crude palm oil futures closed up 2.4 per cent on Monday, after hitting their highest level in more than 2 1/2 years because of firm soyaoil prices.

The benchmark February contract on the Bursa Malaysia Derivative exchange closed up 45 ringgit at 1,921 ringgit a tonne after rising 5.3pc or as high as 1,976 ringgit during the day.

The market gave up some of the gains because product prices in the physical market were not moving along with the futures prices, said one dealer.

Other traded months were finished higher between 45 and 76 ringgit a tonne. Overall volume rose to 25,737 lots of 25 tons each from around 10,000 to 12,000 lots traded on a routine day.

Crude palm oil prices are expected to rise to 2,000 ringgit a ton by early next year, one senior analyst said.

December soyaoil was 0.02 cent per lb higher at 28.89 cents. The backs were mostly higher up 0.10 to down 0.01 cent.

Malaysia's palm oil output is expected to decline in coming months because of widespread rains during the monsoon that started this month.—Reuters