In Monday’s session soybeans gapped higher at the start of the overnight session and then climbed higher for the rest of the overnight and day session, closing sharply higher. Support came from demand optimism as there were reports the US and China are discussing rolling back tariffs on some ag products. Fund buying was also supportive. Forecasts for hot and dry weather for most of the Midwest added to the gains. After the close, the crop progress report lowered soybean conditions by 1% to 64% g/e. The trade had expected conditions to come in at 66% g/e. MN went up by 1% to 79% g/e, SD went up 3% to 66% g/e but ND dropped 10% to 53% g/e. Last week’s export shipments were near the top of the range of trade expectations.
Soybeans traded on both sides of unchanged in a choppy session on Tuesday but found strength late in the day session to close with decent gains. Support came from reports China bought 5 to 10 cargoes of US soybeans yesterday. Reports that the US and China are getting ready to drop the 10% tariffs each country has on the other added to the gains. Forecasts that got a bit hotter and drier added support also. Monday’s crop progress report lowered the soybean crop condition rating by 1% to 64% g/e while traders expected to see a 1% increase. But the current rating is in line with the 10-year average for early July. USDA reported a sale of 105,000 MT of soybean cake and meal to Colombia.
In Wednesday’s session soybeans traded on both sides of unchanged overnight but fell lower throughout the day session and closed with small losses. Early support came from confirmation of Tuesday’s rumors. USDA reported a sale of 472,000 MT of soybeans to China, split between 136,000 MT old crop and 336,000 MT new crop. The old crop sales were a surprise to the trade. There were also rumors China bought an additional 5 or more cargoes of US beans. But the market lost ground in the day session as traders believe last night’s rains will help the crop get through the coming heat wave. Losses were limited by the sharply higher soybean oil market. President Trump said he expects Chinese President Xi to visit the US around Sept. 24.
On Thursday soybeans traded on both sides of unchanged overnight but spent the day session on the lower side and closed with double-digit losses. Pressure came from positioning ahead of Friday’s USDA report. Forecasts for slightly cooler temps in the 8 to 14 day forecast added pressure. Losses were limited by improving export demand. USDA reported a sale of 136,000 MT of new crop soybeans to China, adding to yesterday’s sale of 472,000 MT. USDA also reported a sale of 120,000 MT of new crop soybeans to unknown destinations. Last week’s old crop export sales were disappointing with sales at the bottom of the range of trade estimates at just 2.0 MB. But new crop sales at 15.0 MT were near the top of the range of trade estimates. For new crop, marketing year to date sales total 104 MB vs. 68 MB at the same time last year.
Aug soybean support is $11.00. Nov soybean support is at $11.15.
For the week, Aug soybeans were at $11.9175 up 55.5 cents while Nov soybeans were at $11.9075 up 43.0 cents. Aug soybean meal was at $320.40 up $14.90 and Aug soybean oil was at $70.46 up $3.69.
Soybean Weekly Comments July 10
Soybean Weekly Comments July 10
In Monday’s session soybeans gapped higher at the start of the overnight session and then climbed higher for the rest of the overnight and day session, closing sharply higher. Support came from demand optimism as there were reports the US and China are discussing rolling back tariffs on some ag products. Fund buying was also supportive. Forecasts for hot and dry weather for most of the Midwest added to the gains. After the close, the crop progress report lowered soybean conditions by 1% to 64% g/e. The trade had expected conditions to come in at 66% g/e. MN went up by 1% to 79% g/e, SD went up 3% to 66% g/e but ND dropped 10% to 53% g/e. Last week’s export shipments were near the top of the range of trade expectations.
Soybeans traded on both sides of unchanged in a choppy session on Tuesday but found strength late in the day session to close with decent gains. Support came from reports China bought 5 to 10 cargoes of US soybeans yesterday. Reports that the US and China are getting ready to drop the 10% tariffs each country has on the other added to the gains. Forecasts that got a bit hotter and drier added support also. Monday’s crop progress report lowered the soybean crop condition rating by 1% to 64% g/e while traders expected to see a 1% increase. But the current rating is in line with the 10-year average for early July. USDA reported a sale of 105,000 MT of soybean cake and meal to Colombia.
In Wednesday’s session soybeans traded on both sides of unchanged overnight but fell lower throughout the day session and closed with small losses. Early support came from confirmation of Tuesday’s rumors. USDA reported a sale of 472,000 MT of soybeans to China, split between 136,000 MT old crop and 336,000 MT new crop. The old crop sales were a surprise to the trade. There were also rumors China bought an additional 5 or more cargoes of US beans. But the market lost ground in the day session as traders believe last night’s rains will help the crop get through the coming heat wave. Losses were limited by the sharply higher soybean oil market. President Trump said he expects Chinese President Xi to visit the US around Sept. 24.
On Thursday soybeans traded on both sides of unchanged overnight but spent the day session on the lower side and closed with double-digit losses. Pressure came from positioning ahead of Friday’s USDA report. Forecasts for slightly cooler temps in the 8 to 14 day forecast added pressure. Losses were limited by improving export demand. USDA reported a sale of 136,000 MT of new crop soybeans to China, adding to yesterday’s sale of 472,000 MT. USDA also reported a sale of 120,000 MT of new crop soybeans to unknown destinations. Last week’s old crop export sales were disappointing with sales at the bottom of the range of trade estimates at just 2.0 MB. But new crop sales at 15.0 MT were near the top of the range of trade estimates. For new crop, marketing year to date sales total 104 MB vs. 68 MB at the same time last year.
Aug soybean support is $11.00. Nov soybean support is at $11.15.
For the week, Aug soybeans were at $11.9175 up 55.5 cents while Nov soybeans were at $11.9075 up 43.0 cents. Aug soybean meal was at $320.40 up $14.90 and Aug soybean oil was at $70.46 up $3.69.