It's time to read the agricultural market news
April 27, 2023
The stability of the Euronext market and the ongoing good competitiveness of European vegetable oil is underpinning the entire complex in Europe. To this we can add the tightness of soya and palm which are allowing the rapeseed complex to remain particularly competitive. Good demand from crushers at the beginning of the new campaign is therefore offsetting the good potential supply in the summer. The rapeseed market therefore seems to have balanced out at around €450-460/t on Euronext.
The cereal market is gradually falling to new lows given the lack of tightness across all the markets. Traders are no longer surprised by the geopolitical risks at a time when Ukrainian supply is much lower than last September and its exit [from the country] is being re-organised more rapidly. With regard to crop condition, only US winter wheat is showing any damage. The weather market is not yet bringing enough concerns to allow cereals to exit the bearish trend that began in October 2022.