Soybean Market Update: Prices Dip, but Weekly Gains Persist
Soybean contracts ended Friday with losses ranging from 3 to 8 ½ cents, despite a weekly gain of 17 ¾ cents for November futures. November soybean options expired today, and the average closing price for these futures in October stands at $10.09. This is $1.46 less than the February base insurance price. CmdtyView reported a decrease in the national front month Cash Bean price, which fell 8 cents to $9.32. Meanwhile, soymeal futures declined by 50 cents to $4.60 per ton across the board, and Soy Oil contracts saw nearby prices drop 2 to 18 points, while deferred contracts were up by 1 to 19 points.
This morning, the USDA announced a private export sale of 116,000 metric tons (MT) of soybeans for the 2024/25 season to China.
Export Sales Show Strong Demand
According to the USDA’s weekly Export Sales report, 2.15 million metric tons of soybeans were booked for the 2024/25 marketing year during the week of October 17. This brings the total to 23.993 MMT, which is 48% of the USDA’s export forecast. Notably, the five-year average indicates that 56% of sales would typically be completed by this time into the marketing year.
Market Sentiment Revealed by CFTC Data
Data from the CFTC’s weekly Commitment of Traders report, released on October 22, showed an increase of 19,233 contracts in net short positions among speculators in soybean futures and options. As of Tuesday, their net short position was 59,574 contracts. In contrast, commercial traders reduced their net short positions by 10,227 contracts, ending with a net short of 18,424 contracts.
Soybean Futures Prices
Nov 24 Soybeans closed at $9.87 ¾, down 8 ½ cents.
Nearby Cash was quoted at $9.32, down 8 cents.
Jan 25 Soybeans finished at $9.97 ½, down 7 ½ cents.
May 25 Soybeans settled at $10.24, down 6 ¼ cents.
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 those of the author and do not necessarily reflect those of Nasdaq, Inc.
