Soybean Market Experiences Midday Decline Amidst Export Sales
Pressure from Soy Products
Soybeans are facing downward pressure as midday trading shows contracts decreasing by 2 to 4 cents. CmdtyView reports the national front month Cash Bean price has dropped 2 cents to $9.44 3/4. Concurrently, products contributing to this decline include Soymeal futures, which are down 80 cents per ton, and Soy Oil futures falling by 37 points.
Significant Export Sales Reported by USDA
This morning, the USDA announced several private export sales, including 261,264 MT of soybeans to Mexico, 135,000 MT of soybean meal to the Philippines, and 30,000 MT of bean oil to India, all destined for the 2024/25 marketing year.
Weekly Export Inspections Reflect Mixed Trends
The latest Export Inspections report indicated that a total of 2.165 MMT (79.55 million bushels) of soybeans were shipped during the week of November 14th. This figure represents an 8.4% decline from the previous week; however, it is an increase of 32.7% compared to the same week in 2023. Among the shipments, 1.39 MMT was sent to China, with Germany receiving 143,343 MT and Mexico 100,786 MT. Cumulatively, shipments for the marketing year have reached 17.48 MMT (642.4 million bushels), marking a 9.2% increase over the same timeframe in the prior year and ranking as the second-largest total for the first 11 weeks in the past seven years.
Speculative Funds Adjust Positions
Data from the Commitment of Traders revealed that spec funds have reduced their net short positions in soybean futures and options by 15,576 contracts, now holding a total of 54,536 contracts as of Tuesday. Meanwhile, commercials have increased their net short positions by 14,726 contracts, bringing their total to 44,176 contracts as of November 12th.
Brazilian Crop Planting Ahead of Last Year
AgRural reported that as of November 14th, 80% of the Brazilian soybean crop has been planted. This is a notable increase from last year’s completion rate of 68% at the same time.
Current Soybean Pricing
Jan 25 Soybeans are priced at $9.96 1/2, down 2 cents.
Nearby Cash stands at $9.44 3/4, down 2 cents.
Mar 25 Soybeans are at $10.06 1/2, down 2 1/4 cents.
Jul 25 Soybeans are at $10.30 3/4, down 3 1/2 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.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
