Soybean Market Rises After USDA Data Release

The soybean market experienced gains on Thursday, with most contracts rising between 7 to 17 cents at the close, following the USDA data release. CmdtyView reported the national front month Cash Bean price increased by 17 cents, reaching $9.76 3/4. Additionally, soymeal futures rose by $2.10 to $3.50 per ton, while soybean oil futures closed up by 4 to 13 points.

USDA Soybean Sales Report

The USDA reported soybean sales for the week ending April 3, 2024/25, at 172,324 metric tons (MT), marking an 8-week low. Notably, China purchased 141,300 MT, with 132,000 MT switched from unknown sources. Current unshipped sales to China now stand at just 395,000 MT, while new crop sales amounted to 0 MT.

Soybean Meal and Bean Oil Sales

Soybean meal sales totaled 275,955 MT, significantly higher than the estimated range of 75,000 to 470,000 MT, marking a 7-week high. Bean oil sales posted at 20,195 MT, exceeding expectations of 5,000 to 37,000 MT and showing an increase from the previous week.

USDA Balance Sheet Updates

This morning, the USDA released updates to the U.S. and World balance sheets via the monthly WASDE report. They reduced the U.S. carryout by 5 million bushels (mbu) to 375 mbu, adjusting imports up by 5 mbu and increasing crush by 10 mbu to 2.42 billion bushels (bbu).

For Argentina, the estimates remained unchanged at 49 MMT, while Brazilian forecasts stayed steady at 169 MMT. Conversely, the world carryout was raised by 1.06 MMT to 122.47 MMT, mainly due to a larger carry-in, which increased by 2.72 MMT following a 1.5 MMT rise in Brazil’s 2023/24 production. The Brazilian crop estimate was slightly adjusted upwards to 167.87 MMT, up by 0.5 MMT. On the other hand, the Rosario Grains Exchange reduced its Argentina soybean crop estimate by 1 MMT, bringing it to 45.5 MMT.

Soybean Closing Prices

May 25 Soybeans closed at $10.29, an increase of 16 1/4 cents.

Nearby Cash was $9.76 3/4, up 17 cents.

Jul 25 Soybeans closed at $10.36 3/4, gaining 13 1/4 cents.

Nov 25 Soybeans closed at $10.04 3/4, up 7 3/4 cents.

New Crop Cash stood at $9.44 3/4, increasing by 8 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 is solely for informational purposes. For more information please view the Barchart Disclosure Policy
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