SunSirs: The Decline of Soybean Oil Mrket Slowed Down as the Imported Soybeans Reached New Low

According to the monitoring data of SunSirs, since November, after a short rise in the soybean oil market, it has seen a diving market. The market has been falling for several days. On November 14, it stopped falling and recovered, with an overall decline of 3.13%.

From November 1 to 14, the soybean oil market was divided into three stages as a whole. On November 1, the external market pulled up and the soybean oil market followed; From February to November, the high diving of soybean oil market was mainly due to the drag of futures market and poor demand; On the 14th, the number of imported soybeans on the supply side was low, the decline of soybean oil market slowed down, and the market recovered.

Futures: Since November, the spot soybean oil rose 2.66% on the first day, driven by the strong external futures in October. Two days later, the global economy was depressed, the demand for oil and fat was sluggish, the futures of oil and fat market in the external market fell one after another, the domestic soybean oil futures declined, and the spot market of soybean oil fell by 6.3% from November 2 to November 11.

Demand side: The boom of the catering industry in the oil terminal has declined, and the profit has shrunk. The enthusiasm for the purchase of soybean oil and palm oil is not good. The demand for oil and palm oil has declined as a whole when it is collected and used. The peak season is not prosperous, and the traders' goods are generally sold, and the transaction is flat, which has depressed the market of soybean oil and palm oil.

Supply side: China's soybean import volume in October was 4.14 million tons, 46.4% lower than that in September of 7.72 million tons, 19% year-on-year, and the lowest import data in the same period since the import of 4.1 million tons of soybeans in October 2014. The quantity of imported soybeans is still low, the supply side is more profitable, and the soybean oil market has recovered.

SunSirs agricultural product analyst believes that: in late November, the arrival of imported soybeans in Hong Kong increased, the tight supply situation may ease, the prosperity of the terminal catering industry is average, and China soybean oil market may continue to decline in the future.

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