China Agriculture Market Sees Mixed Trends Amid Soybean and Vegetable Oil Rallies
China's agriculture market experienced mixed trends in late August 2026. Soybean futures on the DCE closed higher, influencing the physical market as well. The clearance of farmer stocks and tight margins led to reduced sales, causing prices to remain range-bound.
The vegetable oil market saw a synchronized rally across three major oils, contributing to bullish sentiment. Factors driving this trend included a shortage in rapeseed oil supply, expectations of palm oil production cuts, and rising soybean futures lifting soybean oil prices.
China's live hog prices rose 3.67% week-over-week to Yuan 11.01/kg last week. Hog supply from large farms remained steady while smaller farms held back sales in anticipation of further price increases. School graduation banquets boosted demand, leading to increased slaughter volumes and higher hog prices in the near term.
The grain market saw ample overall supply, but corn demand was flat. Corn prices are expected to remain weak and range-bound due to these conditions.