Rapeseed (XRX24), -6.93%, had a very bullish run to start this month, reaching a top of 515 on July 5, fueled by dryness in Eastern Europe and downward revisions by the European Commission on EU rapeseed yield (mainly from France). Ukraine was also reporting worse-than-expected growing conditions, and the USDA lowered its 2024/25 oil seeds production forecast to 686 tonnes (by -1M tonnes) due to lower expected production and exports in Australia.
All of that changed last week, as the vegetable oil complex lost momentum and reversed the trend amid a rise in Malaysian palm oil stockpiles to 4-month highs. The U.S. soybean crop has also been rated good or excellent, which is a change from previous bad news in the Midwest.
