12.20.2024
45z guidance fails to appear; government scrambles to pass spending bill
The US government spending bill failed twice in as many days. If a deal is not reached by midnight on Friday December 20, some federal services will...
The bean oil/heating oil spread (BOHO) in the US climbed by 23% in the week to Friday August 23 compared with the week prior, primarily due to rising soybean oil and feedstock costs. A rising BOHO signals a more challenging economic environment for biodiesel and renewable diesel production.
Soybean oil futures on the Chicago Board of Trade (CBOT) rose by 4% in the week to Friday, elevating feedstock costs for biofuel production, and prices for ultra-low-sulfur diesel (ULSD) declined by 1%, which also provided upward pressure on the BOHO spread.
Prices for soybean oil and other feedstocks used to produce biofuel have been down in recent weeks. Soybean oil futures posted a year-to-date high of 49.55 cents per lb on July 5 and have been trending lower ever since.
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