A sharp increase in the price of soybean oil in Chicago supported the prices of other vegetable oils

August soybean oil futures on the Chicago Stock Exchange rose 6.8% this week to the highest level since April at $1,035/t amid increased use of soybean oil in US biodiesel production and higher oil prices.

According to the USDA, in May the volume of soybean processing in the USA increased by 7.9% compared to April to 5.23 million tons.

September Brent oil futures on the ICE Futures exchange in London rose by 10% to $86.3/barrel (+2.1% for the week) on the back of improving data on the economy in the US and a possible escalation between Lebanon and Israel during the month ), which is the maximum value since the end of April.

The quotation supports the expected increase in demand for oil and fuel due to increased travel by Americans on Independence Day. In addition, the strengthening of Hurricane Beryl, which has been forming in the Atlantic since the beginning of the year, to the 5th category, may lead to a reduction in oil production in the United States.

It is worth considering that the Russian Federation continues to increase oil production, and in May increased it to 9.39 million barrels/day, which is 3.8% higher than the agreed target of 9.049 million barrels/day. In addition, during June 24-30, oil exports from the Russian Federation increased by 620,000 barrels/day to a 2-month high of 3.67 million barrels/day, which will increase pressure on prices in the near future.

August palm oil futures on the Bursa exchange also rose 6% during the week to 4,089 ringgit/t or $867/t (+2.7 % per month).

Malaysia cut palm oil exports by 15.4% in June compared to May, according to surveyor AmSpec Agri Malaysia, but the market is awaiting official data on production, exports and stocks.

On the Dalian exchange, the most active contract for soybean oil rose by 2.1% yesterday, and for palm oil - by 2.75%.

According to Trading Economics, the average price of sunflower oil with delivery to customers remains at the level of last month at $930/t, as the volume of rapeseed oil offers has significantly increased on the EU market.