After Monday’s holiday soybeans gapped higher at the start of the overnight session and then added to the gains to close sharply higher on Tuesday. Support came from disappointing rains in Argentina over the weekend. Hot and dry conditions are now returning to the country. Support also came from statements from President Trump where he discussed possible tariffs on goods coming into the US from Canada, Mexico, and the EU, but made no mention of China. The sharply lower US dollar added to the gains. Brazil’s soybean harvest is 1% complete vs. 3% average and Mato Grosso is 2% complete vs. 9% average. Brazilian oilseed group Abiove increased their estimate of Brazil’s crop from 168.7 MMT to 171.7 MMT. Soybean export shipments were below the range of trade expectations and the lowest in 16 weeks.
Soybeans traded mostly on the lower side in Wednesday’s choppy session and closed with losses. Updated forecasts that added rain in the 1 to 5 and 6-to-10-day forecasts for Argentina and southern Brazil pressured soybeans. Pressure also came from profit taking after yesterday’s strong gains. President Trump said he intends to put a 10% tariff on goods coming into the US from China possibly starting Feb. 1. That didn’t phase the market since Trump had earlier talked about 60% tariffs. Private analysts are starting to release their spring planted acres estimates. S&P Global Commodity estimates US soybean planted acres at 83.3 million. That’s 3.8 million acres below last year mainly due the group estimating corn acres increasing by 2.9 million this year.
In Thursday’s session soybeans saw small losses in the overnight session, climbed higher through most of the day session, faded late in the session but still closed with solid gains. Day session support came from forecasts reducing the amount of rain for Argentina in the 1-to-5-day forecasts. Temps will be above normal for the next 2 weeks. Worsening crop conditions in Argentina were also supportive. 28% of the soybean crops are in poor condition vs. 21% last week and 14% last year. BAGE lowered its estimate of Argentina’s soybean crop by 1 MMT.
Target $10.85 to advance sales.
Mar soybeans support is at $9.47 while resistance is at $10.85.
For the week, March soybeans were at $10.5575 up 21.75 cents while May soybeans were at $10.6825 up 23.5 cents. March soybean meal was at $304.90 up $7.70 and March soybean oil was at $45.22 down 47 cents.
Soybean Weekly Comments January 24
Soybean Weekly Comments January 24
After Monday’s holiday soybeans gapped higher at the start of the overnight session and then added to the gains to close sharply higher on Tuesday. Support came from disappointing rains in Argentina over the weekend. Hot and dry conditions are now returning to the country. Support also came from statements from President Trump where he discussed possible tariffs on goods coming into the US from Canada, Mexico, and the EU, but made no mention of China. The sharply lower US dollar added to the gains. Brazil’s soybean harvest is 1% complete vs. 3% average and Mato Grosso is 2% complete vs. 9% average. Brazilian oilseed group Abiove increased their estimate of Brazil’s crop from 168.7 MMT to 171.7 MMT. Soybean export shipments were below the range of trade expectations and the lowest in 16 weeks.
Soybeans traded mostly on the lower side in Wednesday’s choppy session and closed with losses. Updated forecasts that added rain in the 1 to 5 and 6-to-10-day forecasts for Argentina and southern Brazil pressured soybeans. Pressure also came from profit taking after yesterday’s strong gains. President Trump said he intends to put a 10% tariff on goods coming into the US from China possibly starting Feb. 1. That didn’t phase the market since Trump had earlier talked about 60% tariffs. Private analysts are starting to release their spring planted acres estimates. S&P Global Commodity estimates US soybean planted acres at 83.3 million. That’s 3.8 million acres below last year mainly due the group estimating corn acres increasing by 2.9 million this year.
In Thursday’s session soybeans saw small losses in the overnight session, climbed higher through most of the day session, faded late in the session but still closed with solid gains. Day session support came from forecasts reducing the amount of rain for Argentina in the 1-to-5-day forecasts. Temps will be above normal for the next 2 weeks. Worsening crop conditions in Argentina were also supportive. 28% of the soybean crops are in poor condition vs. 21% last week and 14% last year. BAGE lowered its estimate of Argentina’s soybean crop by 1 MMT.
Target $10.85 to advance sales.
Mar soybeans support is at $9.47 while resistance is at $10.85.
For the week, March soybeans were at $10.5575 up 21.75 cents while May soybeans were at $10.6825 up 23.5 cents. March soybean meal was at $304.90 up $7.70 and March soybean oil was at $45.22 down 47 cents.