To start the week soybeans dropped lower at the start of the overnight session, briefly got on the positive side at the end of the overnight session but then faded throughout the day session and closed with double-digit losses. The January contract closed below $11.00 for the first time since Oct. 29. USDA reported a sale of 132,000 MT of soybeans to China. That brings China’s marketing year total to 2.845 MMT. Traders are unimpressed by the slow pace of China purchases, so the sale didn’t move the market higher. China will auction off 512,500 MT of soybeans out of their reserves, possibly to make room for US beans being shipped to China. Good rains over much of Brazil and Argentina over the weekend added pressure. Last week’s export shipments were in the range of trade expectations. The report showed 120,000 MT of soybeans were shipped to China, the first shipment in the marketing year. Total marketing year to date shipments are at 474 MB vs. 866 MB at the same time last year.
In Tuesday’s session soybeans saw mostly small losses overnight but added to the losses in the day session and closed lower. Soybeans were pressured early by Argentina’s announcement that the country is permanently lowering soybean export taxes from 26% to 24% and taxes on soybean products from 24.5% to 22.5%. Needed rains falling in southern Brazil added pressure as the south has been the driest part of the country.
Tuesday’s USDA report was neutral to friendly for soybeans. USDA did not change any US numbers, leaving ending stocks at 290 MB. That was 18 MB less than the average trade estimate. Soybean exports were left unchanged at 1.635 MB, and the national average price was left at $10.50.
USDA also did not make any changes to South American production, leaving Brazil at 175.0 MMT (0.6 MMT lower than expected) and Argentina at 48.5 MMT (as expected). World ending stocks were estimated at 122.4 MMT, 0.4 MMT more than last month but 0.2 MMT less than expected.
Soybeans were lower overnight but climbed higher throughout the day session and closed with small gains on Wednesday. Support came from more daily export sales announcements: 136,000 MT to China, two sales to unknown that totaled 331,000 MT, and 120,000 MT of soybean cake and oil to Poland. But gains were limited by confusion regarding the deadlines for China purchases. After the Trump/Xi meeting at the end of October, the White House said China would buy 12 MMT of US soybeans by the end of 2025. Treasury Sect. Bessent later moved the deadline to the end of February 2026. And now US Trade Rep Greer said the 12 MMT would be purchased by “the end of the growing season.” The administration has not clarified what the “end of the growing season” means, but some assume he was referring to the 2025/26 marketing year. China has purchased 2.98 MMT of US soybeans for the 2025/26 marketing year. There have been another 830,000 MT of sales to unknown since the end of October that likely are China.
On Thursday soybeans traded back and forth on both sides of unchanged in a very choppy session and closed with small gains. Support came from another round of daily flash sales announcements: 264,000 MT of soybeans to China and 226,000 MT to unknown. Since October China has purchased 3.245 MMT of US soybeans and unknown destinations have purchased 1.0 MMT (which could be China as well). Support also came from CONAB lowering their estimate of Brazil’s soybean production by 0.5 MMT to 177.1 MMT. China auctioned off 397,000 MT out of their state reserves on Wednesday. There are expectations China will auction off around 4 MMT of reserve soybeans in the coming weeks. That would make room for some of their recent US purchases. USDA released the Sept and Oct Crush reports Wednesday after the close. Sept crush set a new record for the month, and Oct crush set a new all-time record for any month.
Soybeans Jan soybean support is $10.70.
For the week, January soybeans were at $10.7675 down 28.5 cents while March soybeans were at $10.8675 down 29.25 cents. January soybean meal was at $302.50 down $4.90 and January soybean oil was at $50.07 down $1.62.
Soybean Weekly Comments December 12
Soybean Weekly Comments December 12
To start the week soybeans dropped lower at the start of the overnight session, briefly got on the positive side at the end of the overnight session but then faded throughout the day session and closed with double-digit losses. The January contract closed below $11.00 for the first time since Oct. 29. USDA reported a sale of 132,000 MT of soybeans to China. That brings China’s marketing year total to 2.845 MMT. Traders are unimpressed by the slow pace of China purchases, so the sale didn’t move the market higher. China will auction off 512,500 MT of soybeans out of their reserves, possibly to make room for US beans being shipped to China. Good rains over much of Brazil and Argentina over the weekend added pressure. Last week’s export shipments were in the range of trade expectations. The report showed 120,000 MT of soybeans were shipped to China, the first shipment in the marketing year. Total marketing year to date shipments are at 474 MB vs. 866 MB at the same time last year.
In Tuesday’s session soybeans saw mostly small losses overnight but added to the losses in the day session and closed lower. Soybeans were pressured early by Argentina’s announcement that the country is permanently lowering soybean export taxes from 26% to 24% and taxes on soybean products from 24.5% to 22.5%. Needed rains falling in southern Brazil added pressure as the south has been the driest part of the country.
Tuesday’s USDA report was neutral to friendly for soybeans. USDA did not change any US numbers, leaving ending stocks at 290 MB. That was 18 MB less than the average trade estimate. Soybean exports were left unchanged at 1.635 MB, and the national average price was left at $10.50.
USDA also did not make any changes to South American production, leaving Brazil at 175.0 MMT (0.6 MMT lower than expected) and Argentina at 48.5 MMT (as expected). World ending stocks were estimated at 122.4 MMT, 0.4 MMT more than last month but 0.2 MMT less than expected.
Soybeans were lower overnight but climbed higher throughout the day session and closed with small gains on Wednesday. Support came from more daily export sales announcements: 136,000 MT to China, two sales to unknown that totaled 331,000 MT, and 120,000 MT of soybean cake and oil to Poland. But gains were limited by confusion regarding the deadlines for China purchases. After the Trump/Xi meeting at the end of October, the White House said China would buy 12 MMT of US soybeans by the end of 2025. Treasury Sect. Bessent later moved the deadline to the end of February 2026. And now US Trade Rep Greer said the 12 MMT would be purchased by “the end of the growing season.” The administration has not clarified what the “end of the growing season” means, but some assume he was referring to the 2025/26 marketing year. China has purchased 2.98 MMT of US soybeans for the 2025/26 marketing year. There have been another 830,000 MT of sales to unknown since the end of October that likely are China.
On Thursday soybeans traded back and forth on both sides of unchanged in a very choppy session and closed with small gains. Support came from another round of daily flash sales announcements: 264,000 MT of soybeans to China and 226,000 MT to unknown. Since October China has purchased 3.245 MMT of US soybeans and unknown destinations have purchased 1.0 MMT (which could be China as well). Support also came from CONAB lowering their estimate of Brazil’s soybean production by 0.5 MMT to 177.1 MMT. China auctioned off 397,000 MT out of their state reserves on Wednesday. There are expectations China will auction off around 4 MMT of reserve soybeans in the coming weeks. That would make room for some of their recent US purchases. USDA released the Sept and Oct Crush reports Wednesday after the close. Sept crush set a new record for the month, and Oct crush set a new all-time record for any month.
Soybeans Jan soybean support is $10.70.
For the week, January soybeans were at $10.7675 down 28.5 cents while March soybeans were at $10.8675 down 29.25 cents. January soybean meal was at $302.50 down $4.90 and January soybean oil was at $50.07 down $1.62.