Soybean Futures Show Modest Recovery After Monday’s Declines
Following a tough Monday, soybean futures are on the rise today, gaining 3 to 5 cents. However, yesterday’s losses ranged from a ¼ to 3 3/4 cents across nearby contracts, while a few deferred contracts remained steady or slightly higher. According to CmdtyView, the national front month Cash Bean price dropped 3 3/4 cents to $9.41 1/2. In other developments, soymeal futures saw an increase of $1.30 to $2.30 per ton at the close, though there were 200 additional deliveries reported from Bunge’s house account overnight. Contrarily, Soy Oil futures experienced a decline of 5 to 18 points during the session.
Latest Export Inspections Point to Strong Demand
Export Inspections revealed that 1.622 million metric tons (MMT) of soybeans were shipped during the week of December 5. This reflects a notable 62.3% increase compared to the same week last year, although it is a 23.1% decrease from the previous week. Of the total shipments, over half—847,025 MT—went to China, followed by 125,277 MT to Turkey and 142,036 MT to Italy. Cumulatively, marketing year-to-date shipments reach 23.438 MMT (861.2 million bushels), marking an 18.6% rise from last year’s figures during this period.
USDA Report Anticipated with Minimal Changes
Looking ahead, the USDA monthly report is expected to show little change in the US soybean balance sheet, with Reuters estimating a slight decrease to 469 million bushels (mbu), down just 1 mbu from November. Globally, carryout is predicted to increase by 0.71 MMT to an expected 132.45 MMT.
China’s Import Trends Continue to Rise
In November, China imported 7.15 MMT of soybeans, bringing the total for the calendar year to 97.09 MMT, representing an increase of 9.4% from last year.
Current Market Prices
For January 25 Soybeans, the closing price was $9.90, down 3 3/4 cents, but currently shows an increase of 4 1/4 cents. Nearby Cash stood at $9.41 1/2, down 3 3/4 cents. Meanwhile, March 25 Soybeans closed at $9.95 1/2, also down 3 3/4 cents, and currently sits at 4 cents. Lastly, July 25 Soybeans were priced at $10.16 3/4, down 3 1/4 cents, with a current rise of 3 3/4 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 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.
