Spot market trading was sluggish on Tuesday due to weak margins and talk of a slowdown in U.S. renewable diesel production due to upcoming plant downtime. Renewable Identification Numbers (RINs) also dropped again on Monday. Crude corn oil indications in the Midwest were reported in a range from the mid- to upper 50 cts/lb.

“RBD soybean oil is definitely under some pressure, but it feels like we’ve found a floor,” said one trader. Demand from the food and biodiesel/renewable diesel sectors for soybean oil and other feedstocks like corn oil has been lighter than expected. Margins have been in the doldrums, and many of the largest producers are reportedly well covered through the first quarter of 2024.

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