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

US soybean markets are slightly higher on the week aided by a firmer euro/US dollar rate.  Traders are now focused on US weather as we enter the US soybean growing season.

In Europe we have seen good volumes of farmer selling for new crop as the MATIF has rallied. A week ago it was hard to find any bullish input for rapeseed but since then we have had frost damage in Canada, firmer soybean oil and continued tightness in European old crop markets. These stories spooked futures markets, which have been volatile with short covering rallies in rapeseed and Winnipeg canola.  Going forward the picture is fairly blurred with the extent of the damage in Canada being debated and the US soybean growing season just under way.

The euro has rallied against sterling, aiding UK prices.