Soybean Prices Rise Despite Mixed USDA Sales Reports
Soybean contracts maintained Thursday’s gains, rising between 6 to 12 cents by midday trading. CmdtyView’s national front month Cash Bean price increased by 11 cents, now at $9.70 3/4. Meanwhile, soymeal futures added $1.30 per ton, although soy oil futures dipped by 9 points.
The USDA reported soybean sales for the 2024/25 season at 172,324 metric tons for the week ending April 3. This figure falls short of estimates, which ranged from 200,000 to 700,000 metric tons. Soybean meal sales were notably strong at 276,000 metric tons, significantly higher than the expected range of 75,000 to 470,000 metric tons. Conversely, bean oil sales reached 20,200 metric tons, also exceeding the expectation of 5,000 to 37,000 metric tons.
In the latest monthly WASDE update, the USDA revised the U.S. and world balance sheets. The U.S. carryout prediction decreased by 5 million bushels to 375 million bushels. This reduction coincides with a 5 million bushel increase in imports and a 10 million bushel increase in crush capacity, now set at 2.42 billion bushels.
Looking at global figures, Argentina’s estimates remained stable at 49 million metric tons, while Brazil’s production forecasts held steady at 169 million metric tons. The world carryout was raised by 1.06 million metric tons to 122.47 million metric tons, primarily due to a larger carry-in, which rose by 2.72 million metric tons. Brazil’s 2023/24 production estimate was also increased by 1.5 million metric tons, with CONAB’s updated crop figures showing the Brazilian soybean crop slightly higher at 167.87 million metric tons, reflecting a 0.5 million metric ton increase. However, the Rosario Grains Exchange lowered its estimate for the Argentine soybean crop by 1 million metric tons to 45.5 million metric tons on Wednesday.
May 25 Soybeans: $10.24, up 11 1/4 cents
Nearby Cash: $9.70 3/4, up 11 cents
Jul 25 Soybeans: $10.32 1/2, up 9 cents
Nov 25 Soybeans: $10.03, up 6 cents
New Crop Cash: $9.42, up 6 1/2 cents
At the time of publication, Austin Schroeder did not hold (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article are for informational purposes only. For more details, please view the Barchart Disclosure Policy
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