Rising oil prices support vegetable oil prices
Yesterday, oil prices accelerated growth, and December Brent crude futures on the London ISE Exchange rose 3.4% to the highest level since October 2018 - 8 81.98/barrel, although before the end of trading they fell to 8 81.6/barrel.
The oil market is supported by high gas prices, which in Europe reached 1 1,200/thousand m3 and the decision of OPEC+ countries to leave unchanged the previously agreed plans, according to which oil production will grow by only 400 thousand barrels/day from November. Based on expectations of an increase in oil consumption due to high gas prices and possibly a cold winter, oil price forecasts rose to 9 90/barrel, and some experts to.100/barrel. OPEC + countries could have increased production, but they decided to keep prices high to increase profits.
Vegetable oil markets reacted to the rise in oil prices with rising prices.
December palm oil futures on the Malaysian stock exchange rose 1.7% yesterday to 4,583 ringgit/ton or.1,098/ton, recouping Friday's drop and returning to a record level on forecasts of increased demand from the biodiesel industry.
Malaysia's palm oil reserves may fall 0.36% to 1.87 million tons on the back of higher export growth than production, Reuters estimates.
December soybean oil futures on the Chicago Stock Exchange rose 2.5% during the session yesterday, but later fell to.1,299/ton, adding 1.4% for the day against the background of data on active soybean harvesting in the United States, where 34% of the area has already been threshed, compared with 26% on average for 5 years. In addition, Stone X experts raised its soybean yield forecast from 50.8 to 51.3 bushels/acre, significantly higher than the September USDA estimate of 50.6 bushels/acre.
Prices for Black Sea sunflower oil remain at 1 1300-1340/ton FOB, depending on the delivery date.
This week, the Egyptian operator GASC will hold a tender for the purchase of imported 30 thousand tons of soybean and 10 thousand tons of sunflower oil, which will further affect prices.
