MUMBAI (Commodity Online): Soy oil futures traded lower on Friday tracking poor global cues amid ample supply in the domestic markets. Lower import estimations of soy oil also put pressure on soy oil futures.
In NCDEX soy oil January contract is trading at Rs.718 per quintal, fell by 1.31per cent on 12:20 IST against the previous close.
In the morning session the contract traded at a range of Rs.716.10-724 per quintal. Open interest of the contract is 42660 lots and volume traded is 16230 lots for the time being.
Soy bean stock piles and marginal increase in production number in U.S might affect prices initially. Weakness in Crude Oil prices also has bearish impact on soy oil prices.
Recovery in weather conditions over Latin American regions is affecting the sentiments while the amount of crop recovery due to this would be less as this has been the worst drought since 70 years.
Prices of soy oil from Brazil and Argentina have cooled off a tad which might further keep prices under pressure initially.
