It was an eventful week regarding the global economic situation. Firstly, China’s CCI (Consumer Confidence Index) has gone into a free-fall, most likely due to the Corona troubles in the country and the underperforming economy. At the same time, things are rumbling in various places in Europe. The reduction in gas supplies from Russia via Nord Stream 1 will leave several European countries facing a gas shortage, which will lead to higher production costs and potentially increasing inflation.
Concerning Russia, there was some positive news about the agreement regarding the Black Sea region. However, this news was soon cancelled out by new bombings on Ukrainian ports. Altogether, the situation there remains dire, and the market is still unsure where it stands. It is clear that uncertainty remains in the global vegetable oil market due to economic uncertainty, and it is still difficult to predict how this will evolve in the coming period.
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