Market Update: Soybean Prices Dip Amid Tariff Announcements
Soybeans experienced lower trading on Thursday, falling 15 to 18 cents at midday. CmdtyView reported that the national front month Cash Bean price is down 15 1/4 cents, now sitting at $9.58 1/2. In contrast, soymeal futures increased by $1.50 per ton, while soy oil futures decreased by 167 points.
Tariff Implications Impacting Markets
President Trump revealed reciprocal tariffs on China, set at 34% (54% when including earlier tariffs), with 20% imposed on the EU. These tariffs are scheduled to take effect on April 9. As of midday Thursday, there has been little communication regarding any retaliatory measures from either country.
Export Sales Data Highlights
This morning’s Weekly Export Sales data showed that the FAS report recorded 410,172 metric tons (MT) in old crop soybean sales for the week ending March 27. This figure falls within trade estimates of 250,000-800,000 MT, marking a three-week high and tripling the sales total from the same week last year. China remained the dominant buyer, purchasing 285,900 MT (including 264,000 MT switched from an unknown buyer), while Taiwan acquired 73,100 MT. Sales for new crop soybeans were limited to 3,274 MT, which is at the lower end of the 0-50,000 MT expectations.
Soybean meal sales totaled 93,497 MT, below the trade estimates of 100,000-300,000 MT. Meanwhile, soybean oil sales hit a seven-week low of 13,842 MT, matching the low end of the expected range of 5,000-40,000 MT.
Census Trade Data Overview
According to the latest Census trade data, February soybean exports were recorded at 3.07 million metric tons (MMT), or 112.66 bushels, which represents a 41.17% decline from January and a 41.75% drop compared to the previous year. This figure marks the lowest February total since 2020. Cumulatively, marketing year shipments have reached 1.415 billion bushels. February meal exports were down 17.64% from last year, arriving at 1.125 MMT, while soy oil shipments exceeded last year’s total at 136,250 MT.
Current Soybean Prices
May 25 Soybeans are trading at $10.13 3/4, down 15 3/4 cents.
Nearby Cash is at $9.58 1/2, down 15 1/4 cents.
Jul 25 Soybeans are at $10.28 3/4, down 16 1/4 cents.
Nov 25 Soybeans are at $10.19 1/2, down 17 3/4 cents.
New Crop Cash is at $9.57 1/4, down 17 3/4 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 are solely for informational purposes. For more information, please view the Barchart Disclosure Policy here.
The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.
