Soybeans were lower for most of the overnight session but climbed higher throughout the day session to close with solid gains on Monday. Overnight pressure came from reports of good rains in northern Brazil and part of Argentina over the weekend. Brazil’s soybean planting is now 78% complete vs. 68% last year and 71% average. Support came from USDA sales announcements of 261,000 MT of soybeans to Mexico, 135,000 MT of soybean meal to the Philippines, and 30,000 MT of soybean oil to India. Last week’s export shipments were in the range of trade expectations and marketing year to date sales are running 9.2% ahead of last year. Spillover support came from the strong gains in the wheat and crude oil markets.
In Tuesday’s session soybeans spent the entire session on the lower side in a choppy session and closed with double-digit losses. Pressure came from weather forecasts for South America. Most of Brazil is forecast to see 2 to 4 inches of rain over the next two weeks while most of Argentina is expected to see 1 to 2 inch rains. Brazil’s crush association estimates the upcoming crop at 167.7 MMT vs. USDA’s current estimate of 169.0 MMT. They see crush at 57.0 MMT vs. 54.5 MMT last year. Reuters reported that Brazil and China are set to announce new ag agreements between the countries before their leaders meet later this week. Technical selling added to the losses.
Soybeans were higher for the first 20 minutes of the overnight session then they turned lower and spent the rest of Wednesday’s session on the lower side. Pressure came from improving growing conditions in South America and expectations of a huge crop. Worries about a possible trade war with China during the Trump administration added to the losses. The leaders of Brazil and China met today and signed nearly 40 cooperative agreements regarding trade, technology and environmental protection. Spillover pressure came from the sharply lower soybean oil market. Losses were limited by export sales of 202,000 MT of soybeans to China and 226,200 MT of soybeans to unknown.
On Thursday soybeans were higher overnight but turned lower at the start of the day session and then added to the losses to close solidly lower. With good growing conditions in South America and not much fresh news to push the market higher, soybeans took the path of least resistance today. Spillover pressure came from the deep losses in the soybean oil market. Losses were limited by last week’s export sales report that had sales above the range of expectations. USDA also announced daily export sales of 198,000 MT of soybeans to China, 135,000 MT of soybeans to unknown and 133,000 MT of soybean meal to the Philippines. Argentina’s soybean planting is 36% complete vs. 25% last week and 33% average.
Target $10.85 to advance sales.
Jan soybeans support is at $9.75 while resistance is at $10.85.
For the week, January soybeans were at $9.835 down 15.0 cents and March soybeans were at $9.9225 down 16.5 cents. Dec soybean meal was at $289.20 down 40 cents and Dec soybean oil was at $41.77 down $3.58.
Soybean Weekly Comments Nov 22
Soybean Weekly Comments Nov 22
Soybeans were lower for most of the overnight session but climbed higher throughout the day session to close with solid gains on Monday. Overnight pressure came from reports of good rains in northern Brazil and part of Argentina over the weekend. Brazil’s soybean planting is now 78% complete vs. 68% last year and 71% average. Support came from USDA sales announcements of 261,000 MT of soybeans to Mexico, 135,000 MT of soybean meal to the Philippines, and 30,000 MT of soybean oil to India. Last week’s export shipments were in the range of trade expectations and marketing year to date sales are running 9.2% ahead of last year. Spillover support came from the strong gains in the wheat and crude oil markets.
In Tuesday’s session soybeans spent the entire session on the lower side in a choppy session and closed with double-digit losses. Pressure came from weather forecasts for South America. Most of Brazil is forecast to see 2 to 4 inches of rain over the next two weeks while most of Argentina is expected to see 1 to 2 inch rains. Brazil’s crush association estimates the upcoming crop at 167.7 MMT vs. USDA’s current estimate of 169.0 MMT. They see crush at 57.0 MMT vs. 54.5 MMT last year. Reuters reported that Brazil and China are set to announce new ag agreements between the countries before their leaders meet later this week. Technical selling added to the losses.
Soybeans were higher for the first 20 minutes of the overnight session then they turned lower and spent the rest of Wednesday’s session on the lower side. Pressure came from improving growing conditions in South America and expectations of a huge crop. Worries about a possible trade war with China during the Trump administration added to the losses. The leaders of Brazil and China met today and signed nearly 40 cooperative agreements regarding trade, technology and environmental protection. Spillover pressure came from the sharply lower soybean oil market. Losses were limited by export sales of 202,000 MT of soybeans to China and 226,200 MT of soybeans to unknown.
On Thursday soybeans were higher overnight but turned lower at the start of the day session and then added to the losses to close solidly lower. With good growing conditions in South America and not much fresh news to push the market higher, soybeans took the path of least resistance today. Spillover pressure came from the deep losses in the soybean oil market. Losses were limited by last week’s export sales report that had sales above the range of expectations. USDA also announced daily export sales of 198,000 MT of soybeans to China, 135,000 MT of soybeans to unknown and 133,000 MT of soybean meal to the Philippines. Argentina’s soybean planting is 36% complete vs. 25% last week and 33% average.
Target $10.85 to advance sales.
Jan soybeans support is at $9.75 while resistance is at $10.85.
For the week, January soybeans were at $9.835 down 15.0 cents and March soybeans were at $9.9225 down 16.5 cents. Dec soybean meal was at $289.20 down 40 cents and Dec soybean oil was at $41.77 down $3.58.