Markets continue to be volatile

Posted: 25 Mar
Break Crop Trader's View: By Owen Cligg, Trading Manager

Oilseed Rape
Rapeseed prices have again touched contract highs this week with the May Matif rallying to over 525 euros. Markets have been driven by strong vegetable oil prices, with palm and sun oil in very short supply. The issue with the container ship grounded in the Suez canal may also have been a contributory factor. At the time of writing, rapeseed prices have backed off as soy oil prices have fallen on Chicago.

The USDA planting survey for corn and soya acres will be released on Wednesday 31st March. Although only taking account of provisional planting intentions, the current tight inventories mean large increases in areas are required to attempt to rebuild stocks. Any lower than expected increased areas should be bullish for prices.
Old crop beans are struggling to find buyers as export markets seem to have dried up. There would seem to be plenty of sellers at around £220.00 ex farm, and falling rapemeal prices are not helping demand.

Price weakness is also apparent on new crop positions with £200 ex not so readily achievable unless you are close to a port or compound mill.
Oats are being thinly traded with signs that old crop stocks are getting depleted. Some export interest for feed oats is apparent but domestic feed homes are potentially better valued.
Harvest 2022 HOLL and HEAR contracts with premiums are available.

If you want to secure your supply of Britain's biggest-selling OSR variety, trait-loaded Aurelia, and get deferred payment to June 2022 PLUS a risk share scheme, you have until next Wednesday 31st March when the offer expires. Please call your local United Oilseeds Area Manager or Tel 01380 729200.

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