Up, up and up ... that looks like the trend for our fuel this summer ... what do you think (poll)? The demand for soyoil, the raw material used in most American Biodiesel, has pushed the Chicago Board of Trade soyoil futures to new contract highs as March came to an end. This high contract price unfortunately will make the cost of producing biodiesel all that much more expensive, which will trickle down in higher fuel prices at the pump. The only positive spin might be that US farmers will see a demand for soybeans as they plant their spring fields. (corn demand is already high and affecting many products including the price of milk.) As for soyoil, according to Forbes, the "May soyoil futures" are at "the highest level for a nearby contract on continuation charts since May 2004."

The resurrected crude oil market has reignited index fund buying in soyoil, said John Kleist, senior analyst with Top Third Ag Marketing in Chicago. Soyoil's link to biodiesel is boosting it much like corn has been boosted by ethanol prices.