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

The news this week continues to be dominated by the Argentinian soybean story, as reports and analysis feed into the market the extent of the damage caused by flooding. Estimates range from 3-9 mln t of production lost. Managed money continues to add to soybean and meal longs, whilst selling bean oil.

In Europe the physical market is fairly quiet. We do see some crushers looking for old crop seed to meet commitments but, with large imports from Australia, supplies should be sufficient. The new crop market also remains quiet with a smaller EU crop and firming beans offering support. Poor margins are deterring crushers.