The American Soybean Association is engaging with the California Air Resources Board on the Low Carbon Fuel Standard, which is scheduled for a final vote on November 8, 2024. The group is seeking to prevent a vegetable oil feedstock cap and improve soybean carbon intensity scoring.
A possible cap on vegetable oil feedstocks for California credits would limit demand for soybean oil in renewable diesel, which is bearish for soybean oil prices if adopted.
After 351 past bearish policy events, Soybean Oil moved a median -0.0% over 5 sessions (49% higher; middle half -1.7% to +1.8%), and -0.2% over 20.
After 369 past bearish policy events, Soybeans moved a median -0.2% over 5 sessions (46% higher; middle half -1.7% to +1.8%), and +0.8% over 20.
Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.