The BOT oilseed market continued its strong performance, with the core driving force still coming from the energy sector. According to a Reuters report, after an attack on vessels near the Strait of Hormuz and the market reassessed the supply risks in the Middle East, crude oil prices rebounded, directly boosting soybean oil and soybeans. For the agricultural product market, this means the "energy-vegetable oil-biofuel" chain is once again becoming the pricing center.
Looking at the closing performance, May soybeans were reported at $12.14 per bushel, May soybean oil at 67.16 cents per pound, and May soybean meal at $315.40 per short ton. Pro Farmer noted that soybean oil closed near contract highs, and soybeans recorded the highest close in two years, indicating that funds are more inclined to bet on oils rather than protein meal.
Corn also received a boost from spillover. Although the March WASDE report by the USDA maintained the US corn supply and demand balance sheet essentially unchanged, and raised the global corn ending stocks for the 2025/26 year to 292.75 million tons, the market did not trade around the "ample stocks" narrative, instead focusing more on the surge in fertilizer and fuel prices affecting US spring planting decisions.
Additionally, traders are adjusting positions for potential progress in US-China trade negotiations. Considering that China remains the world's largest soybean importer, any trade signals could amplify soybean price volatility. It should be noted that the logic in your provided material aligns with the Reuters report, but currently available information seems more "expectation-driven," and not indicative of a clear breakthrough at this time.
