Soybean Market Experiences Minor Declines as USDA Report Approaches
The soybean market faced losses of 2 to 5 cents across the front months on Monday. CmdtyView’s national front month Cash Bean price fell back by 4.5 cents to $9.40 1/2. Meanwhile, soymeal futures increased by $2.40 per ton at midday, with 43 deliveries made against December meal. Soy Oil futures saw a decrease of 21 points during the session.
Export Inspections Reports Mixed Performance
Export Inspections data revealed that 1.622 million metric tons (MMT), equivalent to 59.6 million bushels, of soybeans were exported in the week ending December 5. This marks a 62.3% increase from the same week last year, though it reflects a decline of 23.1% compared to the previous week. Notably, over half of the total exports—847,025 MT—went to China, followed by Turkey (125,277 MT) and Italy (142,036 MT). Thus far in the marketing year, exports have reached 23.438 MMT (861.2 million bushels) in the first quarter, which is 18.6% higher than the same period last year.
USDA Report Expected to Show Stability
Looking ahead to the USDA’s monthly report, analysts predict minimal changes to the U.S. soybean balance sheet. According to a Reuters survey, the average estimate stands at 469 million bushels, reflecting a slight decrease of just 1 million bushels from November.
Traders Adjust Positions Ahead of Forecasts
In Friday’s Commitment of Traders report, managed money cut 9,255 contracts from their net short positions in soybean futures and options as of December 3. Their net position totaled 72,217 contracts by the following Tuesday. Additionally, speculators in soymeal reduced their nearly record net short by 2,117 contracts, bringing it to 73,299 contracts.
Brazilian Crop Getting Closer to Completion
AgRural reports that Brazil’s soybean crop is now 95% planted as of Thursday, surpassing last year’s planting rate of 91% at the same time.
Current Soybean Prices
Jan 25 Soybeans: $9.89 1/4, down 4 1/2 cents
Nearby Cash: $9.40 1/2, down 4 1/2 cents
Mar 25 Soybeans: $9.95, down 4 1/4 cents
Jul 25 Soybeans: $10.17 1/4, down 2 3/4 cents
On the date of publication, Austin Schroeder did not have positions in any securities mentioned in this article. All information provided is for informational purposes only. For more details, please refer to the Barchart Disclosure Policy here.
The views expressed in this article are solely those of the author and do not necessarily reflect those of Nasdaq, Inc.
