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

US soyabeans have weakened across the week as the South American harvest progresses, making it a struggle to find any bullish news. The technical charts are looking weak for beans and at present it’s hard to get excited about soybeans.

In the EU the lack of physical sellers means rapeseed buyers are having to pay high premiums for volume. That said, crush margins are very poor and Australian seed will soon be available. There may be a short-term squeeze on the futures (the MATIF has ticked slightly higher) but it’s hard to see too much upside for old crop futures at this point.  

The UK market has edged higher thanks to a firmer euro and some crush demand in the spot positions. Farm sales of old crop are limited and the market remains fairly flat. Timing is crucial in this market and it’s not one to be overly greedy in.

The new crop market is hardly being discussed. Farmers not coming to the market, so we need a story/problem on oilseeds. Currently there isn’t one.