Situation on the world markets of oilseeds and products of their processing with 31.10.2016 at the 04.11.2016

The world soybean market. Nearest future Nov soybeans for the reporting week declined sharply, falling from by 7.26 USD to 360,63 USD. Demand for soybeans continues to be high and the results of the recent export week was the highest since the beginning of the marketing year (2,932 million tons). However, the stability of exports did not protect futures from declining. Quotes responded to lower on a number of factors. First and foremost, the market froze in anticipation of the election results, responds to the decline in oil prices also dipped before the next USDA report. Additionally, the soybean market dipped from harvesting in the U.S., which was above market expectations.

According to estimates of the International grains council (IGC) in October, the production of soybeans in the world 2016/17 MG will increase by 17 million tons to 332 million tons Global soybean exports, according to experts will be in 2016/17 MG 138 million tonnes, 1 million tonnes above previous estimates in September. The increase in projections is reflected in the world market. Also in one of the largest "soybean States" of Brazil Mato Grosso soybean sowing has been completed in 80%, higher than 61% for the same period of the previous year and may indicate an earlier release of cheaper soybeans to the world market which reduces the competitiveness of U.S. oilseeds and interest, respectively.

Additionally on the gross world harvest of soybeans can influence the weather in Argentina, where heavy rainfall were flooded from 300 to 500 thousand ha of agricultural lands (in the province of Buenos Aires, La Pampa, Cordoba and Corrientes). Because the areas were occupied by corn, it is likely that they are now in a few weeks will be reserved for soy.

Rapeseed as of the reporting week declined after soybean, but the decline was less sharp. So, the nearest futures fell by 4.07 USD to 435,28 USD. According to experts Strategie Grains, the gross yield of rapeseed in 2016/17 MG the EU will be reduced by 9% to 20.12 million tons at a yield of 30.8 C/ha, which is 9% lower than last year.

On the Malaysian stock exchange in Kuala Lumpur the nearest futures contract for palm oil for the reporting week declined under the pressure of the oil market by 8.75 USD to 655,75,5 USD.

Export prices (FOB) for oilseeds

Export prices of Argentine soybeans for the week decreased (-10,0 379,0 USD to USD). U.S. soybeans fell for a week by 8.0 USD to 380,0 USD. The gap between us and Argentine soybeans this week amounted to 1 USD.