Current soy trading shows the soy oil futures are firming back up with 54 to 61 point recovery, while beans and meal are pushing lower. The AM soybean board is 6c off the lows but still 2 ¾ to 4 cents weaker into Friday’s day session.
The front month Soybean Oil market led the drop for the Thursday soy market, closing 2.67% to 3% lower on the day. A sharp drop in the crude oil complex was a factor. Soybean prices were down by 1.5% to 1.8% with double digit losses all across the board. Jan futures printed a 34 cent range on the day. Preliminary open interest showed rotation of ownership, dropping only 1,140 contracts despite the big price movement. Soymeal futures closed the day down by 0.6% with $2.40 to $2.90/ton losses. Canadian Canola Prices also dropped dramatically on Thursday with 1.8% losses.
NOAA’s Climate Prediction Center shows some 25 to 55 mm of rain in the 7-day forecast for Brazil’s Center-South Region. That would still be ~75mm below normal for Mato Grosso. Southern Brazil’s Parana/Santa Catarina/Rio Grande do Sul is expecting another 80-130mm of rain for the week, still well above normal.
USDA announced a private export sale for 220k MT of soybeans to unknown destinations on Thursday under the daily system. The weekly report showed 3.92 MMT of soybeans were sold during the week that ended 11/9. Estimates were topped out at 2.9 MMT. USDA had China as the top buyer for the week with 2.6 MMT of the total, including 1.92 MMT previously announced. Soybean commitments total 28 MMT (1.03 bbu), compared to 35.8 MMT (1.32 bbu) at the same time last season.
Export Sales for the products came in at 144,766 MT for meal and 3,410 MT for the soy oil during the week that ended 11/9. Those were inline with the pre-report estimates.
Jan 24 Soybeans closed at $13.60 1/4, down 24 3/4 cents, currently down 2 3/4 cents
Nearby Cash was $13.01 5/8, down 25 1/8 cents,
Mar 24 Soybeans closed at $13.75, down 24 1/2 cents, currently down 2 1/2 cents
May 24 Soybeans closed at $13.86 1/2, down 24 1/4 cents, currently down 2 3/4 cents
On the date of publication, Alan Brugler 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.
