11.22.2024
Biodiesel margins rise, but window of opportunity limited
Biodiesel margins continued to rise during the week to Friday November 22. The bean oil/heating oil (BOHO) spread boosted margins by falling to its lowest level since August 27.
Trading was fairly quiet today for both ruminant and porcine MBM. Both buyers and sellers were reporting a steady range. Strong export volume may be putting a floor in the market with big porcine volumes booked in June. Historically, prices in July have been stronger in the ruminant MBM market. Over the last five years, prices in July have increased relative to June 80 percent of the time. Slower cattle slaughter has been a big contributor to the move higher and this year the production is expected to increase relative to June which makes it reasonable to…