Farming News - Gleadell Oilseeds Report
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Gleadell Oilseeds Report
- Today’s USDA numbers were not exactly bullish. The report showed an increase of 5.5mln t in the ending stock figure from September. This was based on a 7pct increase in the yield figure, a larger harvested area, and a crop increase to 105mln t. But the market is focusing on the demand side of the equation.
- Since the middle of September, the market has fallen nearly US$100/t on the back of farmer selling and better than expected yields, following the late rains in the US Mid-West But the market still needs to ration demand and this wasn’t happening with soybeans at US$17, so at US$15.5 beans aren’t slowing the rate of usage and this was reflected in today’s report with increases in domestic US crush as well as the export markets.
- The rapeseed market continues to follow the sentiment coming out of the soy market. The rapeseed market itself in Europe is actually pretty dull – crushers are struggling to sell oil, and are not interested in buying - and farmers are busy drilling next season’s wheat crops, and aren’t interested in selling.