Market Volatility from Biofuel Court Decision
Supreme Court rules for refineries request for waivers from biofuel mandates. Sent soybean oil tumbling, dragging soybeans lower as well. Support held.
Today's Supreme Court decision merely gives this and future Administration's more freedom to do waivers, but it doesn't dictate things. Question now is, how will the Biden Administration respond, since it's given mixed signals.
The decision merely seems to say that a waiver can be given to a refinery even though it had not previously been granted one. Some will see the drop in RINs as a buying opportunity.
The Biden Administration had flipped over to support the biofuels industry in this case, while also leaking that it was considering ways to provide relief from the mandate for refineries.