Market Performance
As the new week commences, the soybean market demonstrates resilience, opening with gains ranging from 6 ¾ to 9 ¾ cents following the 3-day weekend. The session high for March reached an impressive surge of 16 ¼ cents, instilling optimism and a positive outlook for Tuesday trading. Despite slight fluctuations, soy oil futures exhibited a commendable recovery, concluding the day with losses restrained at 16 to 18 points. The upbeat performance of soybean and soymeal prices further amplified the overall positive sentiment.
International Influences
Over in China, Dalian Soybean Prices experienced a downturn, with losses reaching 55 to 77 yuan/MT (~29 c/bu) on Monday, following the conclusion of the Lunar New Year break. Consequently, the March No.1 contract settled at 4,688 yuan (~$17.74/bu), with the No.2 import quality recorded at 3,675 yuan (~$13.90/bu), showcasing the global impact on soybean trading patterns.
Export Sales and Harvest Progress
The USDA made a significant announcement regarding a private export sale of 228k MT of soymeal to the Philippines. Additionally, the weekly Export Inspections data from USDA reported that 1.185 MMT of soybeans were exported during the week ending 2/15. Despite a marginal downturn from the previous week’s figures, this data indicates robust export activity. In Brazil, soybean harvest progress remains ahead of last year, with 31.1% of the crop harvested compared to 25% at the same time last year, as per Patria Agronegocios. AgRural and Safras contributed to these positive findings, reporting 32% and 29.4% of harvest completion, respectively, as of mid-February.
Closing Figures
Mar 24 Soybeans concluded at $11.79, marking an increase of 6 3/4 cents, while nearby cash was recorded at $11.28 1/4, up 6 1/8 cents. May 24 Soybeans closed at $11.83 1/2, reflecting a 7 1/4 cent increase, and Jul 24 Soybeans closed at $11.92, also up 7 1/4 cents, encapsulating the positive momentum of the day’s trading.
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.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
