On the futures market in Chicago, the soy complex made a sharp turnaround at the beginning of the week. The May contract for soybeans lost 4.50 US cents by the close of trading and slipped to 1196.25 US cents/bushel. Soybean meal also came under pressure and fell by US$ 3.70 to US$ 313.50/short ton in May.
From a trader's perspective, the price movement was less fundamental than an echo of the extreme fluctuations on the energy market. WTI crude oil temporarily shot up by around 30 percent in electronic trading, triggered by developments in the Iran war. However, sentiment turned completely over the course of the day, with the result that crude oil later fell significantly. Fundamentally, there are currently more bearish arguments. Brazil continues to bring in a record soybean harvest and is thus ensuring ample supply on the world market. However, field work is progressing more slowly than planned. According to the consulting firm AgRural, only 51 percent of the land had been harvested by Thursday. At the same time last year, the figure was 61 percent.
The volatile market environment was also reflected in the canola complex. Canola in Winnipeg turned around after a firm start and the May contract lost Can-$ 4.40 to Can-$ 726.40/t. On Euronext in Paris, on the other hand, the firm trend continued. May rapeseed rose by €4.75 to €514.00 per tonne.
