Vegetable Oils Narrowly Mixed Following Reports

Vegetable oils were narrowly mixed on Friday as the fundamental reports largely had limited impacts on traders’ outlooks for prices. Prices moved in the opposite direction of crude oil, which was lower in the overnight session but rallied sharply during U.S. trading hours.

Soybean oil futures fell by about 1/4 percent (September contract -7 basis points per pound) as the United States Department of Agriculture (USDA) raised its forecast for U.S. soybean oil ending stocks slightly in both 2019/20 and 2020/21. USDA increased its forecast for soybean crush, which lifted its predictions for supplies but offset those most of those increases with larger projections for exports in both years. The changes were generally in line with The Jacobsen’s pre-report balance sheets, with the most substantial disagreement occurring in…