Soybean Oil-Palm Oil Spread Falls to One-Month Low
On Wednesday, vegetable oil prices were mixed with palm oil rallying sharply while spreading drove soybean oil prices lower. The moves caused the spread between the May soybean oil and palm oil contracts to narrow by nearly 1 1/2 cents, leaving it at its narrowest level since January 19. The Jacobsen expects the spread to continue to narrow, but the recent decline has been faster than expected. A short-term bounce could drive the spread between May contracts back above six cents. If the spread continues to narrow, U.S. soybean oil export sales will likely accelerate, potentially raising expectations for 2020/21 U.S. shipments.
The spread between nearby soybean oil and heating oil contracts (HOBO) also narrowed, falling by nearly five cents per gallon to $1.73. Despite the decline, the short-term trend in the HOBO spread…
11.22.2024
Biodiesel margins rise, but window of opportunity limited
Biodiesel margins continued to rise during the week to Friday November 22. The bean oil/heating oil (BOHO) spread boosted margins by falling to its lowest level since August 27.
11.22.2024
Gulf prices average higher despite weeklong declines in SBO
For the week ended Friday November 22, packer bleachable fancy tallow (BFT) remained unchanged from the previous week’s average, while Gulf Coast-delivered tallow rose 2.7%, primarily...
11.22.2024
Bloodmeal largest price mover week on week; November cattle on feed higher
US animal protein prices were mixed to mostly higher for the week to Friday November 22, with only meat and bonemeal showing a slight price reduction due to tighter...