Soybean Pressure Continuing to Monday’s Midday
Soybeans are showing losses of 27 to 31 cents in the front months at midday. The cmdtyView national average Cash Bean price is down 29 1/2 cents at $12.32. Soymeal futures are down $10 to $11.40, with Soy Oil slipping just 4 to 7 points.
Following last week’s US/China meeting, China dropped tariffs on several US goods, but left soybeans off the list. This will likely limit US export business to just state-owned entities, which are exempt from the tariff.
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The Monday Export Inspections report showed soybean shipments of 1.153 MMT (42.36 mbu) in the week of 9/24. That was up 49.8% from the week prior and 88.8% ahead of the same week last year. China was the largest destination of 806,776 MT, with 114,362 MT shipped to Egypt and 50,777 MT to Japan. Shipments for the marketing year are now at 2.844 MMT (104.5 mbu) of soybeans, which is now 25.7% ahead the same period last year.
CFTC data from Friday showed managed money adding back to their net long in soybean futures and options by 20,331 contracts in the week of 9/22 to 265,041 contracts. Spec traders in soy meal were at a new record net long of 192,368 contracts.
AgRural estimates the Brazilian soybean crop at 3.4% planted in the Center-South Region as of Thursday, near the 3.2% pace from last year.
China’s Sinograin sold 191,699 MT of imported beans in their auction overnight, just 37% of the total offered.
Nov 26 Soybeans are at $12.88 1/4, down 30 3/4 cents,
Nearby Cash is at $12.32 0/1, down 29 1/2 cents,
Jan 27 Soybeans are at $13.02 1/2, down 30 cents,
Mar 27 Soybeans are at $13.12, down 27 1/2 cents,
On the date of publication, Austin Schroeder did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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