Soybean Market Hit Hard: Prices Slide Amid Dwindling Export Inspections

The soybean market took a step back on Monday, with contracts decreasing between 7 to 11 cents. CmdtyView reports the national front month cash bean price has fallen by 10 3/4 cents, now sitting at $9.84 1/4. Additionally, soymeal futures dropped $4.90 per ton, while soy oil futures saw a decline of 27 points during the session.

Export Inspections Reveal Decline in Soybean Shipments

The weekly Export Inspections report showed a total of 729,362 metric tons (approximately 26.8 million bushels) of soybeans shipped for the week ending January 23. This marks a 20.2% decrease compared to the same week last year and an 8.5% drop from the previous week. Shipments were divided among several destinations, with China receiving the largest share at 141,275 metric tons and Colombia at 119,230 metric tons. As of September 1, total shipments for the marketing year have reached 33.03 million metric tons (or 1.214 billion bushels), indicating a 19.3% increase compared to the same point last year.

Speculative Trading Activity Increases

According to the Commitment of Traders data, speculators increased their net long positions in soybean futures and options by adding 5,497 contracts, bringing the total to 40,330 as of Tuesday.

Brazil’s Soybean Production Estimates Lowered

AgRural has reduced its soybean production estimate for Brazil by 0.5 million metric tons, adjusting it to 171 million metric tons. This revision is attributed to lower yields observed in southern regions, with the current crop showing only 3.9% of its area planted at this time.

Current Soybean Prices

March 25 Soybeans are priced at $10.45, a decrease of 10 3/4 cents.

Nearby Cash is listed at $9.84 1/4, down 10 3/4 cents.

May 25 Soybeans are at $10.58 1/4, reflecting a drop of 10 cents.

November 25 Soybeans are now at $10.41, down 7 3/4 cents.

New Crop Cash is priced at $9.76 1/4, down 8 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 provided solely for informational purposes. For more information, 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.