The market was quiet to close out the week with no spot trading reported today. The grain and veg oil markets looked like a double black diamond slope with big price drops seen up and down the board. Today’s action at the CME is likely to push buyers back on the sidelines to start next week.
Ethanol production was estimated by the EIA at 945,000 barrels last week, up marginally from the week prior. Production is still struggling to find the pre-pandemic levels with high corn prices keeping margins under pressure. Distillers corn oil (DCO) production was estimated at 8.97 million pounds per day, down 14 percent from year ago levels. The tight supply has helped to boost prices again this week, but with the downturn in soybean oil it’s likely that buyers are going to push back on prices.
Figure 1.
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04.19.2024
Reduced March RIN production not leading to higher RIN Prices
Total March biofuel RIN production was 1.9 billion RINs, which was 6% below February and 15% below December’s RIN output of 2.25 billion. December had the largest monthly production...
04.19.2024
CWG, YG higher on week, UCO, DCO down again
The market was quiet heading into the weekend. Used cooking oil (UCO) traded in large volume into the Gulf at 40 cents per lb delivered in the truck market.
04.19.2024
Price pressure on ruminant and porcine items for the week
Sloppy markets were reported for porcine and ruminant items at the close of week ending Friday April 19.
Wide ranges were witnessed on porcine bloodmeal (BM), with a...