KUALA LUMPUR, July 23: Malaysia’s palm oil futures fell across the board on Tuesday after forecasts of cool and wet US weather this week wiped out some of the gains on the Chicago Board of Trade (CBOT) soy futures in Asian screen trade.

In Alliance/CBOT/Eurex (A/C/E), front-month CBOT August soy fell 3-3/4 cents to 5.90 per bushel at 1023 GMT after surging to a contract high of $6.05.

People are only talking about the weather these days. Nothing else. Everyone is cautious and declines in open interest suggest that refiners are pulling out of the market, said one dealer.

At the close, the benchmark third-month palm oil futures, October, was eight ringgit lower at 1,457 ringgit ($383.42) a tonne after trading as high as 1,483 ringgit. Overall volume was heavy at 3,974 lots.

There is scattered rain in the US Midwest today and we will see again tomorrow, said a trader with a major Japanese trading house, citing the cause of declines the CBOT soy futures on Tuesday.

This means wetter and cooler conditions in the soy crop growing area, he added.

At the physical market, CPO’s July and August contracts saw bids at 1,465 ringgit a ton in the southern as well as as central regions against sale offers at 1,470 ringgit.

Trade was reported at 1,460 to 1,465 ringgit for both sides.—Reuters