VEGOILS-Palm oil erases early gains to close lower; monthly data in focus

(Updates with closing price) JAKARTA, June 5 (Reuters) - Malaysian palm oil futures shed early gains to close lower for a second consecutive session on Wednesday, as the market braced for export and production data from the world's second-biggest producer. The benchmark palm oil contract FCPOc3 for August delivery on the Bursa Malaysia Derivatives Exchange closed 14 ringgit, or 0.36% lower, at 3,907 ringgit ($831.98) per metric ton, after rising as much as 0.77% earlier in the day. The contract lost 3.83% on Tuesday, its steepest daily decline since May 31, 2023. "Today crude palm oil futures is having a correction from yesterday's sell off on the back of supportive Dalian and Chicago Board of Trade soyoil market while awaiting Malaysian Palm Oil Board (MPOB) data," a Kuala Lumpur-based trader said, referring to the monthly data on production, export and stock due to be released on June 10. Malaysian palm oil inventories by the end of May were seen at 1.75 million metric tons according to the median estimate of 10 traders, planters and analysts polled by Reuters, up 0.39% from 1.74 million tons recorded by MPOB at the end of April. Exports of palm oil products were estimated to have jumped by 14.32% in the same period to 1.41 million tons due to recovery in palm's competitive price to soybean oil in May. The MPOB is scheduled to release its monthly palm oil data on June 10. Dalian's most-active soyoil contract DBYcv1 lost 0.56%, while its palm oil contract DCPcv1 fell 0.13%. Soyoil prices on the Chicago Board of Trade BOc2 were down 0.25%. European Union palm oil imports so far in the 2023/24 season that started in July had reached 3.12 million tons by June 2, lower than the 3.85 million tons imported a year earlier, data from the European Commission showed. India's palm oil imports rose by 12.4% in May from the previous month to a four-month high as the recent correction in prices led to higher purchases, five dealers told Reuters. ($1 = 4.6960 ringgit) (Reporting by Bernadette Christina and Danial Azhar in Kuala Lumpur; Editing by Savio D'Souza, Mrigank Dhaniwala and Eileen Soreng) (([email protected])) ((For a table on Malaysian physical palm oil prices, including refined oil, Reuters Terminal users can double click on or type OILS/MY01 . * To view freight rates from Peninsula Malaysia/Sumatra to China, India, Pakistan and Rotterdam, please key in OILS/ASIA2 and press enter, or double click between the brackets. * Reuters Terminal users can see cash and futures edible oil prices by double clicking on the codes in the brackets: To go to the next page in the same chain, hit F12. To go back, hit F11. Vegetable oils OILS/ASIA1 Malaysian palm oil exports SGSPALM1 CBOT soyoil futures 0#BO: CBOT soybean futures 0#S: Indian solvent SOLVENT01 Dalian Commodity Exchange DC/MENU Dalian soyoil futures 0#DBY: Dalian refined palm oil futures 0#DCP: Zhengzhou rapeseed oil 0#COI: European edible oil prices/trades OILS/E ))