SINGAPORE, July 18: Malaysian crude palm oil futures slid to a near three-week low on Wednesday, as traders booked profits partly on weaker exports and better production outlook in Malaysia after a recent US weather-fuelled rally.

Malaysia’s July 1-15 palm oil exports tumbled more than 20 per cent from a month ago at a time when stronger production is expected for the month. Slower exports and higher output could see palm oil stocks climb again after falling to a 14-month low in June.  But some traders kept a bullish outlook as the US drought that damaged soybean crops could still shift demand to refined palm oil that is trading at a discount of above $200 to soyoil.

“I think the market just doesn’t have enough push to go up further at the moment,” said a Singapore-based trader with a commodities house.

The benchmark October palm oil futures on the Bursa Malaysia Derivatives Exchange fell 2.2 per cent to close at 2,994 ringgit ($947) per ton, after going as low as 2,990 ringgit — a level unseen since June 28. Traded volumes were high at 39,170 lots of 25 tons each, compared to the usual 25,000 lots.Technicals remain bearish as palm oil will extend its Tuesday loss to 2,973 ringgit, said Reuters market analyst Wang Tao, based on a wave analysis.  Cargo surveyor Intertek Testing Services reported a 21 per cent decline in Malaysian exports for July 1-15. Another cargo surveyor, Societe Generale de Surveillance, posted a 26.1 per cent drop in exports for the same period.—Reuters