Malaysian palm oil futures opened lower on Monday, weighed down by weaker rival Dalian oils and crude oil prices, though stronger Chicago soyoil capped the fall.
The benchmark palm oil contract 
FCPO1! for October delivery on the Bursa Malaysia Derivatives Exchange slid 78 ringgit, or 1.84%, to 4,167 ringgit a metric ton in early trade. The contract rose 0.35% on Friday.
FUNDAMENTALS
* Dalian’s most-active soyoil contract (DBYcv1) eased 0.05%, while its palm oil contract CPO1! shed 1.46%. Soyoil prices on the Chicago Board of Trade (CBOT) 
ZL1! rose 0.15%.
* Palm oil tracks the price movements of rival edible oils, as it competes for a share of the global vegetable oils market.
* Oil prices extended declines after OPEC+ agreed to another large production hike in September, with concerns about a slowing economy in the U.S., the world’s biggest oil user, adding to the pressure. O/R
* Weaker crude oil futures make palm a less attractive option for biodiesel feedstock.
* The ringgit 
USDMYR, the palm’s currency of trade, strengthened 0.98% against the dollar, making it more expensive for buyers holding foreign currencies.
* Meanwhile, old trees and ageing farmers worsened the outlook for top palm oil exporters.
* Palm oil looks neutral in 4,211-4,273 ringgit per metric ton range and an escape could suggest a direction, Reuters technical analyst Wang Tao said. TECH/C
Thomson Reuterscpo
MARKET NEWS
* Asian share markets followed Wall Street lower on Monday as fears for the U.S. economy returned with a vengeance, spurring investors to price in an almost certain rate cut for September and undermining the dollar. MKTS/GLOB
DATA/EVENTS
1400 US Factory Orders MM June