Spot Price Trends in China

By CnAgri2015-01-21 10:03:37 Print

Soybean Oil: This week, soybean oil price continues to rise from last week. Small packages goods’ reserving start, so that domestic soybean oil spot market keeps increasing condition with better transaction. Therefore, soybean oil commercial inventory declines obviously. Then again the world second largest palm oil production country will face monsoon rains, which may lead to tense supply of palm oil. Moreover, the above factors all benefit oilseed market in this week. However, in recent months China largely import soybean, and oil factories’ operation rate also keep in high level, thus the rising room of spot soybean oil is limit. (Figure 6)

Rapeseed Oil: This week rapeseed oil price increases from last week. While domestic rapeseed oil market trend is different, among that domestic rapeseed oil price drops about 30 – 50 Yuan/ton in some place, but imported rapeseed price increases with highest increasing range of 100 Yuan/ton. Collectively, on the one hand the weather is fine in South America where the soybean is expected to have a good harvest; on the other hand international spot crude oil continues to drop off, and soybean oil and palm oil still cannot get rid of weakness. Therefore BOABC predicted that rapeseed oil will fluctuate slightly, and its transaction is still slack due to high price. (Figure 7)







From “China Oil and Oilseeds Market Weekly Report”