Commodities
China's Vegetable Oil Stocks Reach Record High
Rising vegetable oil stocks in China are putting pressure on prices, according to UkrAgroConsult.
The combined stocks of soybean, rapeseed, and palm oils reached 2.55 million tons as of August 21, exceeding the three-year average for the same period by 370 thousand tons.
Rapeseed oil remains under pressure due to abundant supplies and high inventories, weighing on spot and futures prices. SunSirs sees this inventory situation as bearish for the market.
The supply-demand balance of soybean oil is also loose, limiting support for prices. Palm oil faces similar challenges from abundant supplies, making a significant short-term price increase less likely.