Weekly global oilseeds market analysis on February 29, 2024

Published 2024년 2월 29일

Tridge summary

Climate change and El Niño are predicted to cause record high global temperatures in February, leading to early plant blooming and extreme weather conditions, impacting the agricultural sector. Soybean production estimates have been lowered in Argentina and Brazil, despite the USDA predicting increased soybean acreage due to biofuel demand. However, soybean futures have dipped due to strong South American harvests and decreased demand from major importers. Meanwhile, Malaysian palm oil production is expected to drop in February, and sunflower oil prices have decreased by 7% in the past month. Despite these challenges, canola and palm oil have seen significant recovery. Market participants are advised to stay alert to these trends and potential supply-demand imbalances in the complex and evolving oilseed market.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

The weather February is set to have its highest average global temperature on record due to climate change and the warming of the eastern Pacific known as El Niño. Spring conditions caused plants from Japan to Mexico to bloom early, left ski slopes snowless in Europe and raised temperatures to 38C in Texas. These extreme weather conditions leave the agricultural sector with significant vulnerability to economic losses. Highlights of the week Soybeans and soybean meal struggled during the week, with rain in Argentina improving crop prospects, but the Rosario Grains Exchange still lowered its production estimate to 49.5 Mt. Forecasts for Brazil's soybean crop are also being revised downward, with the International Grains Council estimating it at 150.5 Mt. At the same time, Abiove also reduced the forecast for exports from Brazil to 97.8 Mt from 98.1 Mt in the previous report. The popularity of soybeans among US farmers for the 2024/25 season is generating ...

Source: Agroportal