Jonathan Lane, Gleadell’s trading director, comments on the OSR market

Oilseeds futures have hit a bit of upside resistance, pausing the increase we have seen over the past few weeks. With the exclusion of the palm oil, which has suffered production losses, bullish fundamental input for oilseeds and especially soybeans is lacking.

UK physical markets have been active and heavily supported by the firming euro/pound exchange rate. The currency move has supported UK rapeseed prices by circa £30/t since the turn of the year.

With the Brexit vote on the horizon and the unknown implications for currency movements (whichever way we vote), we feel current levels offer a good hedge to farmers for old and new crop.