To start the week soybeans gapped lower in the opening bell and extended session losses throughout the night and start of the day session. Early pressure was due to news that Siva was reelected president of Brazil over the weekend and that sent the Brazilian Real sharply lower, which in turn makes Brazil’s soybeans much more attractive to import. Additional selling was tied to harvest pressure as most are expecting producers to have picked up the pace and are expecting soybean harvest to be close to the average pace. As of October 23, Brazil is reporting harvest progress at 42% complete vs 30% last week and vs 33% average. US ag attaché with Brazil is estimating soybean production at 184.0 MMT vs 180.5 MMT last year. Losses were trimmed late in the session due to last week’s strong export inspection estimate. Soybean shipments are running 42% above last year.
Soybeans saw mostly small gains overnight and into Tuesday’s day session. But the market faded in the second half of the day session and closed lower. Early support came from ideas that Monday’s losses were overdone. But pressure came from the US soybean harvest running 2% ahead of average and Brazil’s planting running 9% ahead of average. A lack of any fresh news to move the market higher added to the losses. Dr Cordonnier left his South American production estimates unchanged with Brazil at 182 MMT and Argentina at 54 MMT. China held another auction of reserve soybeans but this time only 34% of the soybeans offered were sold. China has sold 2.8 MMT out of their reserves since July to make room for US soybeans.
In Wednesday’s session soybeans saw small gains overnight and into the day session. But the market faded late in the session and closed with losses. Early support came from USDA’s announcement of a sale of 120,000 MT of soybeans to unknown. Forecasts for hot and dry weather for northern and central Brazil for the Nov/Dec timeframe were also supportive. But just like Tuesday, soybeans could not hold on to their early gains as a lack of fresh news and technical selling pulled the market lower. China will hold another auction of state reserve soybeans next Tuesday.
Soybeans opened the session lower and extended session losses throughout the night and start of Thursday’s day session. Early selling was tied to technical selling as traders try to test long term major support levels. The lack of news was deafening for the soybean market as the bull needs to be fed every day and so far, the soybeans complex has had little to brag about the past few weeks. Losses were trimmed by another strong export sales pace. Weather forecasts calling for harvest rain delays for the corn Belt this weekend also helped trim losses late. Late session losses were also trimmed by spillover support from the rally in wheat.
Nov soybean support is at $12.00.
For the week, Nov soybeans were at $12.2225 down 34.25 cents while Jan soybeans were at $12.3425 down 34.25 cents. Dec soybean meal was at $324.60 down $21.50 and Dec soybean oil was at $65.90 down 93 cents.
For the month, Nov soybeans were down 70.75 cents while Jan soybeans were down 75.0 cents. Dec soybean meal was down $32.30 and Dec soybean oil was down $2.38.
Soybean Weekly Comments October 30
Soybean Weekly Comments October 30
To start the week soybeans gapped lower in the opening bell and extended session losses throughout the night and start of the day session. Early pressure was due to news that Siva was reelected president of Brazil over the weekend and that sent the Brazilian Real sharply lower, which in turn makes Brazil’s soybeans much more attractive to import. Additional selling was tied to harvest pressure as most are expecting producers to have picked up the pace and are expecting soybean harvest to be close to the average pace. As of October 23, Brazil is reporting harvest progress at 42% complete vs 30% last week and vs 33% average. US ag attaché with Brazil is estimating soybean production at 184.0 MMT vs 180.5 MMT last year. Losses were trimmed late in the session due to last week’s strong export inspection estimate. Soybean shipments are running 42% above last year.
Soybeans saw mostly small gains overnight and into Tuesday’s day session. But the market faded in the second half of the day session and closed lower. Early support came from ideas that Monday’s losses were overdone. But pressure came from the US soybean harvest running 2% ahead of average and Brazil’s planting running 9% ahead of average. A lack of any fresh news to move the market higher added to the losses. Dr Cordonnier left his South American production estimates unchanged with Brazil at 182 MMT and Argentina at 54 MMT. China held another auction of reserve soybeans but this time only 34% of the soybeans offered were sold. China has sold 2.8 MMT out of their reserves since July to make room for US soybeans.
In Wednesday’s session soybeans saw small gains overnight and into the day session. But the market faded late in the session and closed with losses. Early support came from USDA’s announcement of a sale of 120,000 MT of soybeans to unknown. Forecasts for hot and dry weather for northern and central Brazil for the Nov/Dec timeframe were also supportive. But just like Tuesday, soybeans could not hold on to their early gains as a lack of fresh news and technical selling pulled the market lower. China will hold another auction of state reserve soybeans next Tuesday.
Soybeans opened the session lower and extended session losses throughout the night and start of Thursday’s day session. Early selling was tied to technical selling as traders try to test long term major support levels. The lack of news was deafening for the soybean market as the bull needs to be fed every day and so far, the soybeans complex has had little to brag about the past few weeks. Losses were trimmed by another strong export sales pace. Weather forecasts calling for harvest rain delays for the corn Belt this weekend also helped trim losses late. Late session losses were also trimmed by spillover support from the rally in wheat.
Nov soybean support is at $12.00.
For the week, Nov soybeans were at $12.2225 down 34.25 cents while Jan soybeans were at $12.3425 down 34.25 cents. Dec soybean meal was at $324.60 down $21.50 and Dec soybean oil was at $65.90 down 93 cents.
For the month, Nov soybeans were down 70.75 cents while Jan soybeans were down 75.0 cents. Dec soybean meal was down $32.30 and Dec soybean oil was down $2.38.