Cash market trading remained dull heading into the second half of January. Prices corn oil and cottonseed oil were flat. Basis levels on soybean oil in central Illinois and the Gulf remain depressed, with very little spot activity taking place. Logistics and transportation problems continue to be a big headache for a large portion of the industry this week.

“I think people are dealing with issues relative to the cold weather across the country [that came in] this weekend,” one trader said.  

Basis indications for refined, bleached, and deodorized (RBD) soybean oil in central Illinois for delivery through the first quarter held to a range of 8-9 cents above March soybean oil futures on the CME.

December 2023 U.S. soybean crush hit a new all-time high, which is indicative of robust demand. However, the spot market is currently awash with soybean oil, and demand, especially from renewable diesel producers, has been very…