Soybean Futures Experience Minor Declines After Thursday’s Gains
Market Overview: Mild Dip in Soybean Prices
Soybeans are showing slight weakness on Friday morning, with contracts down 2 to 3 cents. In contrast, the soybean market wrapped up Thursday’s session with increases ranging from 12 ¼ to 17 ½ cents across all contracts. CmdtyView’s national front month Cash Bean price was reported at $9.37, reflecting a decline of 13 cents. The rise in soymeal futures, driven by dry conditions in Argentina, saw contracts gain $9.60 to $13.30 per ton. However, soy oil futures did not share the same fate, closing down by 25 to 49 points.
Weather Forecast: Mixed Conditions Impacting Market
Looking ahead, forecasts for the upcoming week predict near-normal rainfall in most areas of Brazil, while the southern part and Argentina are expected to experience increasing dryness. The first week of January is likely to bring extended dry conditions to these regions. This weather pattern is influencing meal specifications as traders cover shorts in response to the drier outlook.
Export Sales Report: New Estimates Released
Due to the holiday, the weekly Export Sales report will be published this morning. Analysts speculate that 1 to 1.8 million metric tons (MMT) of soybeans were sold for the 2024/25 period during the week of December 19, with additional sales of 70,000 to 125,000 MT expected for 2025/26. Soybean meal sales are estimated between 200,000 to 450,000 MT, while bean oil sales are projected at 5,000 to 15,000 MT.
Canola Crush Data and Brazilian Exports
Stats Canada reported the November canola crush data at 1.019 MMT, marking a 12.2% increase compared to the previous year. Additionally, Brazil’s soybean exports for December are anticipated to reach 1.62 MMT, as per ANEC’s consistent estimates from last week.
Current Soybean Pricing Snapshot
As of now, Jan 25 Soybeans closed at $9.88, up 12 3/4 cents, but are currently down 1 1/2 cents. Nearby Cash was valued at $9.37, reflecting a gain of 13 cents.
Mar 25 Soybeans closed at $9.97 1/4, with an increase of 16 cents but are down 3 cents at present.
Jul 25 Soybeans finished at $10.18 1/2, up 17 1/4 cents, yet are currently down 2 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 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.
