SunSirs: China Soybean Oil and Palm Oil Prices fluctuated and rose in June

According to the Commodity Market Analysis System of SunSirs, since June, the soybean oil palm oil market has rebounded and fluctuated upwards. At the beginning of the month, the average price of soybean oil market was 7,200 RMB/ton. On June 27th, the average price of soybean oil market was 7,956 RMB/ton, with a price increase of 10.5%. At the beginning of the month, the average price of palm oil in the market was 7,066 RMB/ton. On June 27th, the average price of palm oil in the market was 7,586 RMB/ton, with a price increase of 7.36%.

Soybean oil: Since June, the soybean oil market has been on the rise. Mainly due to the resurgence of weather themes, increased expectations of drought in the main production areas, and increased concerns about a reduction in US soybean production. The report shows that the excellent rating of US soybeans has been downgraded. Supported by multiple bullish factors, the futures price of beans in the external market has risen, while domestic soybean oil has continued to rise, boosting the spot market of soybean oil.

The spot market of soybean oil has risen for more than half a month, with mainstream prices breaking through the 8,100 RMB mark and rising nearly 1,000 RMB/ton. At the end of the month, after a slight correction in the soybean oil market, it rose again, at around 7,900 RMB/ton. Throughout June, soybean oil rose by over 10%.

Palm oil: After a brief oscillation in the palm oil market in June, there was an upward trend. After the 20th, palm oil experienced a correction trend, and towards the end of the month, it once again saw an upward trend, maintaining an overall upward trend, with an increase of over 7%.

Mainly due to external factors, institutions have shown that from June 1st to 15th, Malaysia's palm oil production decreased by 4%, oil production rate decreased by 0.12%, and production decreased by 4.6%. The production data is mainly bullish, and the external palm oil market has been rising for several days. Affected by the sharp rise in soybean oil market, the substitution effect of palm oil has increased, and the market has seen an improvement. In the first half of the month, the mainstream price of palm oil exceeded 7,600 RMB/ton, rising by about 600 RMB/ton. In the second half of the month, the price of palm oil briefly fell to 7,440 RMB/ton, and rose again to 7,586 RMB/ton at the end of the month.

SunSirs agricultural product analyst believes that in July, the weather continued to heat up, leading to a weakening of oil consumption demand. It is expected that the soybean oil and palm oil market in the future will not have enough momentum to continue rising, and may face a downward trend.

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