Midday Update: Soybean Market Shows Gentle Gains
The soybean market has recorded modest gains this Monday afternoon, with prices rising 1 to 2 cents. CmdtyView’s national front month Cash Bean price increased by 1 1/2 cents, reaching $9.34 1/2. Additionally, soymeal futures are up by $2.80 per ton, while soy oil futures have dipped by 68 points.
Weather Patterns and Shipment Trends
Looking ahead, the upcoming week is expected to bring drier than normal weather for key regions in Brazil, which may impact crop development.
Shipping Data Highlights
According to FGIS data, soybean shipments totaled 2.102 million metric tons (MMT), or 77.24 million bushels (mbu), for the week ending November 21. This figure marks a 7.3% decrease from the previous week but is 33.5% higher than the same week last year. Notably, China received 1.23 MMT of the shipments, with an additional 205,727 MT sent to Mexico. This brings the total marketing year shipment to 19.388 MMT (723.4 mbu), the largest volume at this point since the 2020/21 marketing year and 12% greater than last year’s figures.
Trading Insights
As noted in the CFTC’s Commitment of Traders report, soybean spec traders increased their net short position by 13,165 contracts, bringing the total to 67,701 contracts as of last Tuesday. Meanwhile, commercial traders reduced their net short position by 13,976 contracts, leaving it at 30,200 contracts as of November 19. In soymeal, large speculators hold a near-record net short of 63,700 contracts, which is an increase of 36,069 contracts for the week.
Brazil’s Soybean Planting Progress
According to AgRural, Brazil’s soybean crop is currently 86% planted, notably up from 74% at the same time last year.
Jan 25 Soybeans are priced at $9.85, climbing 1 1/2 cents.
Nearby Cash is at $9.34 1/2, also up 1 1/2 cents.
Mar 25 Soybeans sit at $9.93 1/2, which is an increase of 1 1/4 cents.
Jul 25 Soybeans are at $10.19 3/4, demonstrating a rise of 1 1/2 cents.
On the date of publication, Austin Schroeder did not hold positions in any of the securities mentioned in this article. All information and data in this article are for informational purposes only. For more details, please view the Barchart Disclosure Policy here.
The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.
