Soybean Market Opens with Losses; Soymeal Shows Some Resilience
The soybean market starts Monday’s trading with a decline of 3 to 5 cents in nearby contracts. On Friday, soybean futures registered slight losses, closing with drops between 2 to 4 cents. For the week, May futures were down 6 ¼ cents, while new crop November futures decreased by 10 ¼ cents. CmdtyView’s national front month Cash Bean price fell 2 ¾ cents to settle at $9.49 ½.
Soymeal and Soy Oil Performance
In contrast, soymeal futures ended the week positively, gaining $2.20 to $2.80 per ton on Friday. However, the May contract still experienced a weekly decline of $5.60. Meanwhile, soy oil futures slipped 67 to 69 points in the nearbys, with the May contract rising by 42 points over the week.
Market Dynamics and Trader Insights
The Commitment of Traders report, released Friday afternoon, revealed that speculative traders in soybean futures and options increased their net short positions by 6,461 contracts as of Tuesday. They held a total net short of 22,005 contracts on March 18, primarily due to long liquidation. Commercial traders also expanded their net short positions, adding 4,628 contracts to reach a total of 93,103 contracts by the same date.
Crop Estimates and Harvest Progress
AgRural has adjusted its estimate for the 2024/25 soybean crop to 165.9 million metric tons (MMT), a reduction of 2.3 MMT from the previous estimate. As of now, 77% of the crop has been harvested, compared to 69% at this time last year.
Current Soybean Prices
As of the last close on May 25, the following soybean prices were recorded:
- May 25 Soybeans: $10.09 ¾, down 3 ¼ cents, currently down 4 ½ cents
- Nearby Cash: $9.49 ½, down 2 ¾ cents
- Jul 25 Soybeans: $10.21 ½, down 3 ¾ cents, currently down 4 ½ cents
- Nov 25 Soybeans: $10.07 ¾, down 2 ½ cents, currently down 3 ¾ cents
- New Crop Cash: $9.44 ¾, down 2 ½ 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 here.
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