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

US soybean futures have made their highest price since December but we see little fundamentally bullish news. However, futures markets have reached levels where trend-following funds are likely to exit short positions.  Technicals (charts) and fundamentals aren’t aligned, we might be seeing some traders take some risk off the table with a lot of the negative news well known.

Palm, soybean and crude oil are all firmer. Rapeseed futures have ticked higher in line with the oilseeds complex, but we don’t see a huge appetitive for rapeseed in the physical market though prices have edged up. A firmer euro/sterling rate has again helped ex-farm UK prices up to around £260/t.