Soybeans saw small gains to start the week and added to the gains in the day session to close with double-digit gains. Technical buying supported soybeans. Spillover support came from the higher wheat and corn markets, as well as the higher crude oil market. Last week’s export shipments were in the range of trade expectations. 247,000 MT were shipped to China, leaving them with 1.2 MMT in unshipped purchases for the marketing year. After the close, the crop progress report showed soybean planting continues to move at a fast pace with planting 23% complete vs. 12% average. The only states falling behind average pace are IA, MI, and WI.
Tuesday’s session opened lower and continued to trade in the red throughout the night and start of the day session. Early selling was tied to the war in Iran as the longer the war goes, the longer the Strait remains closed, and that continues to increase tension with China as they are very dependent on Iran energies. Light selling was tied to Monday afternoon’s Crop Progress report which showed another strong week of planting progress for soybeans. Expectations that soybean acres will increase due to high input costs added pressure. Losses were kept in check from reports that the EU rejected a few vessels of Argentina soybean meal due to its continuing non approved GMO traits.
Wednesday’s session had soybeans gaining ground throughout the session and closed higher, with the front months seeing larger gains than the deferred contracts. Support came from the sharply higher soybean oil market, which saw gains from the higher crude oil market. The soybean complex also saw support from news that the EU rejected 4 cargoes from Argentina and 2 from Brazil for containing the HB4 strain (which is not approved in the EU). Argentina and Brazil questioned the EU’s testing procedures and said the tests are false positives. Gains were limited by concerns that the increasing tensions between and US and Iran will jeopardize the upcoming Trump/Xi meeting in mid-May.
Soybeans were mostly higher to start Thursday then turned lower in the day session. The market was able to trim losses and closed within a couple cents of unchanged. Support came from the sharply higher soybean oil market, which again saw new contract highs. Day session pressure came from technical selling and month end positioning. Last week’s export sales were at the low end of the range of trade estimates. Marketing year-to-date sales are at a 13-year low. Argentina’s soybean harvest continues to move at a slow pace. Harvest is 18% complete vs. the 5-year average of 39% and 3-year average of 31%.
July soybean support is $11.67. Nov soybean support is at $11.45.
For the week, May soybeans were at $11.8775 up 24.0 cents while Nov soybeans were at $11.8275 up 27.0 cents. May soybean meal at $320.80 down $3.50 and May soybean oil was at $76.65 up $4.74.
For the month, May soybeans were 11.0 cents while Nov soybeans were up 15.5 cents. May soybean meal up $5.90 and May soybean oil was up $7.48.
Soybean Weekly Comments May 1
Soybean Weekly Comments May 1
Soybeans saw small gains to start the week and added to the gains in the day session to close with double-digit gains. Technical buying supported soybeans. Spillover support came from the higher wheat and corn markets, as well as the higher crude oil market. Last week’s export shipments were in the range of trade expectations. 247,000 MT were shipped to China, leaving them with 1.2 MMT in unshipped purchases for the marketing year. After the close, the crop progress report showed soybean planting continues to move at a fast pace with planting 23% complete vs. 12% average. The only states falling behind average pace are IA, MI, and WI.
Tuesday’s session opened lower and continued to trade in the red throughout the night and start of the day session. Early selling was tied to the war in Iran as the longer the war goes, the longer the Strait remains closed, and that continues to increase tension with China as they are very dependent on Iran energies. Light selling was tied to Monday afternoon’s Crop Progress report which showed another strong week of planting progress for soybeans. Expectations that soybean acres will increase due to high input costs added pressure. Losses were kept in check from reports that the EU rejected a few vessels of Argentina soybean meal due to its continuing non approved GMO traits.
Wednesday’s session had soybeans gaining ground throughout the session and closed higher, with the front months seeing larger gains than the deferred contracts. Support came from the sharply higher soybean oil market, which saw gains from the higher crude oil market. The soybean complex also saw support from news that the EU rejected 4 cargoes from Argentina and 2 from Brazil for containing the HB4 strain (which is not approved in the EU). Argentina and Brazil questioned the EU’s testing procedures and said the tests are false positives. Gains were limited by concerns that the increasing tensions between and US and Iran will jeopardize the upcoming Trump/Xi meeting in mid-May.
Soybeans were mostly higher to start Thursday then turned lower in the day session. The market was able to trim losses and closed within a couple cents of unchanged. Support came from the sharply higher soybean oil market, which again saw new contract highs. Day session pressure came from technical selling and month end positioning. Last week’s export sales were at the low end of the range of trade estimates. Marketing year-to-date sales are at a 13-year low. Argentina’s soybean harvest continues to move at a slow pace. Harvest is 18% complete vs. the 5-year average of 39% and 3-year average of 31%.
July soybean support is $11.67. Nov soybean support is at $11.45.
For the week, May soybeans were at $11.8775 up 24.0 cents while Nov soybeans were at $11.8275 up 27.0 cents. May soybean meal at $320.80 down $3.50 and May soybean oil was at $76.65 up $4.74.
For the month, May soybeans were 11.0 cents while Nov soybeans were up 15.5 cents. May soybean meal up $5.90 and May soybean oil was up $7.48.