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

US soybean futures have pushed through the top of a near four-month trading range, due to the US EPA fuel target being higher than expected.

We have seen a lot of fund buying in beans over the last few weeks with no fundamentally bullish story, but at present there seems little appetite to force bean prices lower.

Soy oil futures traded limit up yesterday following an increase in US biodiesel quotas. Traders bought buying bean oil versus selling meal; this gave global vegetable oils a lift.

Matif rapeseed futures were pulled higher yesterday by the soy oil move. The February contract was able to push through upside resistance.

The pound continues to make ground against the euro, having a negative effect on UK prices and partially offsetting the Matif move.