1.   Palm fundamentals still play second fiddle to currency factors, makingjudgement extremely difficult.

2.   Apart from Ringgit-driven strength, prices have also firmed on newdevelopments in palm fundamentals.

3.   Putting aside this variable, palm fundamentals remain bullish.

4.   Thus, we are confident about current palm fundamentals and believe thata supply-induced run may follow through in the second quarter should theexpected cyclical production increase falter.

5.   Trading has becomesuicidal as the market vacillated between a crashing Ringgit and bearishimmediate term palm fundamentals.

6.   While palm fundamentals no longer appearcritical in the first quarter, perception is still neutral to friendly inthe second quarter.