Soybeans Close Mixed for the Midweek
Front month soybean futures ended the session within 2c of UNCH. The old crop prices were fractionally to 1 ¾ cents in the black and May saw a 16 ½ cent range. New crop beans were fractionally to 1 ½ cents in the red at the bell after Nov printed a 12 ¼ cent range. The new crop soy/corn ratio was still above 2.5 at the close. Soymeal futures settled Wednesday off the lows but still $2.50 weaker. Likewise, Soy Oil futures settled off their highs but still 80 points in the black.
Malaysian Palm Prices were up by 45 ringgits on Wednesday to the highest prices for a year. Nearby Canadian Canola Prices ended the day $2.70 weaker.
Analysts are looking for USDA’s FAS to confirm between 250k MT and 800k MT of soybeans were sold during the week of 3/7. New crop bookings are expected to be below 50k MT. Traders are also looking for the weekly meal bookings to come in between 150k MT and 350k MT for the week. Traders expect to see soy oil sales from 2k MT of cancelations to 20k MT of net new sales.
Traders are looking for NOPA members to confirm between 170.2 mbu and 185.5 mbu of soybeans were processed in February. The average of estimates is to see 178.1 mbu, which would be down from their Jan crush by 4.2% but would still be 7.6% higher compared to Feb ‘23. Survey respondents are also looking for soy oil stocks to increase 5.6% for the month to 1.59 billion lbs.
CONAB estimated Brazil’s soybean production at 146.85 MMT, a 2.55 MMT cut and now 8.15 MMT under USDA. That came via a 220k harvested acre increase and a 0.93 bpa yield hit nationally. They lowered the expected average yield. Safras and Mercado’s standing estimate is to see 149.1 MMT of soybean production, which has the 54.5 MMT in farmer sales read as 36.6%. At the same point last year farmers were 35.4% sold, though the 5-yr average is to be closer to 50% via Safras data. AgRural estimates Brazilian harvest is 55% complete, slightly ahead of the 53% from last year.
May 24 Soybeans closed at $11.96 3/4, up 3/4 cent,
Nearby Cash was $11.40 1/1, up 7/8 cent,
Jul 24 Soybeans closed at $12.10 1/4, up 1 3/4 cents,
Nov 24 Soybeans closed at $11.86, down 1 1/4 cents,
On the date of publication, Alan Brugler 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.
