VEGOILS-Palm sees first gain in two weeks on weaker ringgit, technical rebound

* Palm hits five-month low at 2,411 rgt/T before rising

* Market on track for first rise after 9 losing sessions

* Weaker ringgit, short covering lifts prices -trader

(Updates latest prices)

By Emily Chow

KUALA LUMPUR, June 17 (Reuters) - Malaysian palm oil futures

edged higher on Friday after a run of losses, supported by a

weaker ringgit and short covering, although they still

marked a second straight weekly loss.

Benchmark palm oil futures for September delivery

on the Bursa Malaysia Derivatives Exchange rose 1.4 percent to

2,449 ringgit ($598) per tonne at the close of trade, a first

day of gains after a nine-day slide. The contract earlier dipped

to 2,411 ringgit, its lowest since Jan. 21.

"Palm was oversold, we're seeing short covering towards the

weekend on the back of a weaker ringgit," said a trader in Kuala

Lumpur.

A weaker ringgit, palm oil's currency of trade, typically

helps boost benchmark prices as it makes palm cheaper for

foreign currency holders. The ringgit has weakened nearly 2

percent since it hit 4.0230 per dollar last Thursday, its

strongest in three weeks. It fell slightly on Friday to 4.0995.

A second trader said market sentiment was still poor despite

palm's rise, which was largely due to a technical rebound.

The market has declined over the past two weeks, with

traders forecasting rising seasonal output and declining export

demand as shipments wane after demand for Ramadan.

Cargo surveyor Intertek Testing Services showed Malaysian

exports rose by just 0.5 percent in the first half of June

compared with the corresponding period last month, while Societe

Generale de Surveillance reported a 3.4 percent drop.

Palm oil exports typically see a surge in the month leading

up to Ramadan, the holy festival which sees Muslims break their

day-long fasts with communal feasting.

In competing vegetable oils, the Chicago Board of Trade

soyoil contract for July gained 1.1 percent and the

September soybean oil contract on the Dalian Commodity Exchange

fell 0.3 percent.

Palm, soy and crude oil prices at 1055 GMT

Contract Month Last Change Low High Volume

MY PALM OIL JUL6 2485 +44.00 2439 2488 777

MY PALM OIL AUG6 2460 +38.00 2419 2470 9897

MY PALM OIL SEP6 2449 +35.00 2411 2458 22957

CHINA PALM OLEIN SEP6 5096 +12.00 4998 5110 644638

CHINA SOYOIL SEP6 5946 -16.00 5828 5952 566880

CBOT SOY OIL JUL6 31.46 +6.20 31.12 31.54 6096

INDIA PALM OIL JUN6 509.00 +6.20 504.90 512.5 1180

INDIA SOYOIL JUN6 629 +0.95 628.2 629.5 2450

NYMEX CRUDE JUL6 46.92 +0.71 45.83 47.00 44375

Palm oil prices in Malaysian ringgit per tonne

CBOT soy oil in U.S. cents per pound

Dalian soy oil and RBD palm olein in Chinese yuan per tonne

India soy oil in Indian rupee per 10 kg

Crude in U.S. dollars per barrel

($1 = 67.1600 Indian rupees)

($1 = 6.5854 Chinese yuan)

($1 = 4.0980 ringgit)

(Reporting by Emily Chow; Editing by Richard Pullin and Susan

Fenton)