KUALA LUMPUR: Malaysian palm oil futures fell more than 1% on Tuesday, after rising in the previous session, as weaker Dalian palm olein pressured the market.

The benchmark palm oil contract for July delivery on the Bursa Malaysia Derivatives Exchange slid 70 ringgit, or 1.55%, to 4,446 ringgit ($1,130.72) a metric ton by the midday break. The contract rose 0.24% in the previous session.

The market was weighed down by selling pressure in Dalian palm olein during the Asian trading session, a Kuala Lumpur-based trader said.

Dalian’s most-active soyoil contract fell 0.04%, while its palm oil contract shed 1.35%. Soyoil prices on the Chicago Board of Trade were up 0.37%.

Palm oil tracks the price movements of rival edible oils, as it competes for a share of the global vegetable oils market. Oil prices rose nearly 1% as talks to end the U.S.-Israeli war on Iran appeared fragile, with Tehran’s response to a Washington proposal highlighting stark differences that have kept supply concerns alive.

Stronger crude oil futures make palm a more attractive option for biodiesel feedstock.

Malaysia’s palm oil inventories rose in April for the first time in four months as exports fell amid a surge in production and higher imports, data from the Malaysian Palm Oil Board showed.

Cargo surveyor Intertek Testing Services estimated that exports of Malaysian palm oil products for May 1-10 rose 8.5% from a month earlier, while independent inspection company AmSpec Agri Malaysia estimated that exports declined 10.8%.

The ringgit, palm’s currency of trade, weakened 0.31% against the dollar, making the commodity slightly cheaper for buyers holding foreign currencies.

Palm oil may break a support at 4,482 ringgit per metric ton, and fall into the 4,410-4,452 ringgit range, Reuters technical analyst Wang Tao said.