World: Weekly oilseed market overview on December 19

Favorable weather conditions for soybean planting in South America, with completed sowing in Brazil and ongoing progress in Argentina, points to potential large harvests. In Europe, rapeseed prices reached a two-year high before experiencing a significant drop due to the suspension of physical delivery by Euronext and the general weakness of oils. The dollar's strength and economic negative outlook also contributed to the decline. Meanwhile, soybean processing in the US fell slightly, and there was an increase in EU rapeseed and soybean imports. Sunflower oil prices in the Black Sea region have fallen due to increased soybean oil availability, weak demand, and competitive Russian offers. The overall market outlook remains bearish for oilseeds, with reduced demand for palm oil in Asia also impacting prices.

Weather Climate conditions for soybeans (currently a major driver of oilseed prices) in South America remain favorable. Sowing in Brazil is now complete, and in Argentina it is also progressing well. The prospects for large harvests remain, given the good development of the crops, and weather maps show a new portion of precipitation in some key regions in Brazil and Argentina next week. Global market highlights MATIF rapeseed recorded a successful previous week in which it managed to increase in price by €21 to reach a two-year price peak on Friday of €547/t. The increase in price occurred after Euronext announced that it would suspend physical delivery of the February contract in eastern France, in response to a river incident on the Moselle River in Germany, which stopped traffic to and from French ports, stimulating massive short covering. However, this did not last long. The leading rapeseed futures contract recorded the biggest drop yesterday (December 18) and fell by 16.75 ...