Jonathan Lane, Gleadell’s Trading Manager, comments on the OSR market

• The soybean market continues to offer support to the oilseeds complex with the market concerned about dryness across the central Midwest and the potential for frost damage in September due to late plantings. This weather risk follows on from the last USDA report where the planted acreage figure was reduced. New crop export sales have also been strong with China buying large volumes. The soybean balance sheet is fairly tight and therefore remains susceptible to any changes in supply and demand as a large US crop is needed. Any hint of uncertainty can spook the markets.  

• Statscan released its Canadian canola crop forecast figure of 14.7mil tons but with ideal conditions over the past month many traders expect this figure to be increased in subsequent reports.

• The European physical market has seen limited activity with the market ticking higher and farmers hoping for better prices. In the UK the harvest is still very stop/start and merchants are busy with logistics as much of the rapeseed harvest is still to get under way in the northern and western regions of the country.