
Indonesia and Malaysia, the two dominant palm oil producers, may take the EU to international court over an EU clampdown on palm oil used as fuel. Indonesian President Joko Widodo is moving to shore up the industry.
Threatened legal action and EU restrictions on palm-based biofuel reduce demand expectations for palm oil, a bearish influence on palm oil and vegetable oil prices, with some spillover to soybean oil.
After 400 past bearish policy events, Palm Oil moved a median -0.0% over 5 sessions (49% higher; middle half -1.3% to +1.1%), and +0.2% over 20.
After 196 past neutral policy events, Soybean Oil moved a median +0.1% over 5 sessions (52% higher; middle half -1.6% to +2.0%), and -0.5% 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.