Rapeseed Prices Rebound
By ODA UK | Published at
After yesterday's USDA report did not make any significant changes, prices on the soya complex were relatively calm on the U.S. market. Soybeans rose a bit after 134KT of U.S. soya was sold to an unknown destination. Soybean oil was sinking somewhat in the wake of palm as Euronext closed. Indeed, palm prices lost more than 2% today following publication of the MPOB's monthly report, which showed a smaller-than-expected drop in Malaysian palm stocks for March.
Despite the lack of support from global markets, rapeseed prices advanced during the session with help from crude's rebound to $71.4/barrel for Brent. In addition, dry weather across much of Europe's rapeseed production zone is beginning to worry traders, especially since two-week forecasts for precipitation are slim for Germany, Poland, and the Baltic State.
In grains, U.S. wheat hovered near equilibrium in Chicago. A good outlook for U.S. winter wheat yields has been offset by renewed concerns about spring wheat sowing. Prices in Minneapolis rebounded today. European wheat finished slightly lower. FranceAgriMer published adjustments to the French overview. Even after exports to non-EU countries for the 2018-2019 campaign were revised higher again to 9.7MT (+200KT), the ending stock is still at the same level as last month due to declining feed consumption. However, ending stock is low.
Today we also learned the shipment of French wheat rejected yesterday in Egypt underwent a new analysis. The decision, therefore, may not be final.
In maize, the rain forecast for the U.S. Corn Belt continues to fuel concerns about planting, which enabled maize to climb a bit in Chicago as the European session ended. In contrast, Euronext maize closed the session lower in the wake of wheat and due to FranceAgriMer's upward revision of French ending stock for the 2018-2019 campaign to 2.56MT (+190KT).