Soybean Markets Dip as NOPA Crush Data Falls Short of Expectations

Monday Trading Sees Mild Losses in Soybeans, Despite Record November Crushing

Soybeans are experiencing midday losses of 3 to 5 cents this Monday, following NOPA data that did not meet market expectations. CmdtyView reported the national front month Cash Bean price down 2 1/4 cents at $9.32 3/4. Meanwhile, soymeal futures increased by $1.30 per ton today. On Friday night, 141 deliveries were issued, bringing the total for this contract to 2,662 contracts. Soy Oil futures are 91 points lower. An additional 18 deliveries against December bean oil were logged on Friday evening, raising the total to 800.

Export Inspections data indicate 1.676 MMT (61.6 mbu) of soybean shipments were recorded for the week ending December 12. This figure shows a 3.5% decrease from the previous week but a significant 17.6% increase compared to the same week last year. Notably, China was the largest importer, receiving 1.026 MMT, while Mexico took in another 191,759 MT. To date, total shipments for the marketing year stand at 25.23 MMT (927.06 mbu), which is 19.1% above the same point last year.

The NOPA data, updated this morning, reported 193.185 mbu of soybeans crushed in November, which was below the trade’s projected 196.713 mbu. This figure does represent a 2.19% increase from last year and sets a November record; however, it shows a decrease of 3.38% from the prior month. Additionally, soybean stocks rose by 1.47% year-over-year, totaling 1.08 billion lbs. Despite this increase, it remains 10.6% below last year’s figures and short of the forecasted 1.123 billion lbs.

According to the CFTC Commitment of Traders data, a total of 13,897 contracts were covered from the speculative funds’ net short position in soybean futures and options as of December 10, adjusting the position to -58,320 contracts. By Tuesday, commercials reported a net short of 27,087 contracts, marking an increase of 7,898 contracts.

In international markets, AgRural estimates Brazil’s soybean crop at 171.5 MMT.

Current prices for soybeans are as follows:

• Jan 25 Soybeans: $9.86, down 2 1/4 cents
• Nearby Cash: $9.37 3/4, down 2 1/4 cents
• Mar 25 Soybeans: $9.89 3/4, down 5 1/4 cents
• Jul 25 Soybeans: $10.10 1/2, down 5 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 are solely for informational purposes. For more information, please view the Barchart Disclosure Policy here.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.