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RTRS-Malaysia's Jan palm oil stocks fall to five-month low

Posted by Flora Sawita Labels:

KUALA LUMPUR, Feb 10 (Reuters) - Malaysia's January palm oil stocks slipped to a five-month low as a decline in production outpaced a drop in exports, industry regulator Malaysian Palm Oil Board said on Friday.

Stocks in the world's No. 2 producer of the edible oil fell 2.5 percent to 2.0 million tonnes from December last year, almost matching market expectations of a 2.2 percent drop.

The still-high inventories can potentially shore up global edible oil supply in the wake of erratic weather affecting soy crops in south America. Benchmark palm oil futures <0#FCPO:> on the Bursa Malaysia Derivatives Exchange may come under some pressure after losing 0.8 percent at midday ahead of the data release.

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