Volatile Market Trends
February’s bonus day saw front month soybean futures tumbling between 2 to 8 ¼ cents. As the month comes to a close, the March contract is facing a significant 96 ¾ cent loss, with November also down by 67 cents. In contrast, midday Soymeal futures are showing strength, with gains ranging from $1.80 to $2.50. However, front month Soy Oil futures are down by 22 points, with May bean oil reflecting a net 149 point loss for the month.
Shipping Insights
Weekly Soybean bookings reached 159,725 MT, marking an improvement from the previous week’s low. Despite this uptick, bookings remain at the lower end of estimates and are down by 62% compared to the same period last year. Overall, total commitments are lagging by 20% behind the previous season’s pace. The latest Export Sales report highlighted a 54% increase in soymeal sales at 456k MT, while BO bookings stood at 3k MT.
Projections and Data Analysis
Anticipated weekly soybean export sales are projected to fall between 100k MT and 600k MT for the week ending on 2/22. Meal bookings are expected to stay under 550k MT leading up to the FAS data release, with soy oil sales not expected to exceed 100k MT for the week. StatsCan data for January revealed 973k MT of canola processing, reflecting a 7% increase from the previous year and running 12.7% ahead of last year’s total pace.
Mar 24 Soybeans are at $11.27, down 7 cents,
Nearby Cash is at $10.75 5/8, down 10 1/2 cents,
May 24 Soybeans are at $11.39 1/4, down 6 cents,
Jul 24 Soybeans are at $11.50, down 5 3/4 cents,
Nov 24 Soybeans are at $11.32 3/4, down 2 1/4 cents,
Alan Brugler, on the date of publication, has no direct or indirect positions in the securities mentioned. All information in this article is purely for informational purposes. For additional information, kindly refer to the Barchart Disclosure Policy.
The opinions expressed herein are solely those of the author and do not necessarily align with those of Nasdaq, Inc.
