Soy oil hits two-year high as crude rallies after Iran strikes
02/03/2026 (The Edge Malaysia) - Soybean oil jumped to the highest level in more than two years, tracking crude prices higher after strikes by the US and Israel on Iran over the weekend.
Futures in Chicago surged as much as 3.9% on Monday before paring some gains, though the most-active contract remains on track to advance for a sixth session. Higher crude prices usually make other fuel sources such as biodiesel more attractive, boosting demand for vegetable oils.
“It will be like a magnet with crude oil this week following the attacks in Iran,” said Joe Davis, director at brokerage Futures International LLC.
Crude spiked before paring the biggest surge in four years, with the US-Israeli war against Iran plunging the oil market into turmoil, triggering concerns about prolonged disruptions at the Strait of Hormuz.
Separately, Beijing said over the weekend it will impose a 5.9% anti-dumping duty on rapeseed imports from Canada from March 1, well below preliminary levels announced last year. That followed an announcement by China on Friday that it would drop tariffs on Canadian rapeseed meal after Prime Minister Mark Carney’s visit in January.
Prices:
- Soybean oil May delivery was 1.8% higher at 62.98 cents a pound as of 11.01am Singapore time after posting the biggest gain for a most-active contract since August 2023.
- Benchmark palm oil futures traded in Kuala Lumpur jumped as much as 1.1% to RM4,086 a tonne.
- Soybeans in Chicago were little changed.
- Wheat and corn were also steady.