Soybeans Face Double Digit Losses on Wednesday Selling
Soybeans closed out the Wednesday session, with contracts 11 to 16 cents in the red across most months, led by the nearbys. New crop seems content with not buying soybean acres, as the current soy corn ratio is 2.20. The average close in February for November futures, used to determine the base price for crop insurance, has been $10.60 so far, down 95 cents from last year. The national front month Cash Bean price from cmdtyView was down 15 1/2 cents at $9.66 1/4. Soymeal futures were down $2.50/ton, with Soy Oil futures 47 points lower on the session.
The USDA reported a private soybean export sale of 120,000 MT to unknown destinations for 2024/25 shipment this morning. The weekly Export Sales report will be released on Thursday morning, with traders looking for 300,000-800,000 MT of old crop soybean sales in the week of February 6. Another 0-50,000 MT is expected for new crop shipment. Meal sales are pegged in a range of 200,000-625,000 MT, with bean oil sales seen between 0-35,000 MT.
Brazil’s Abiove left their production estimate for the country’s bean crop at 171.7 MMT on Wednesday, which compares to the USDA’s 169 MMT estimate. CONAB data will be out later this week. As for Argentina, the Rosario Grains Exchange cut their estimate for the crop to 47.5 MMT.
Mar 25 Soybeans closed at $10.27 3/4, down 15 3/4 cents,
Nearby Cash was $9.66 1/4, down 15 1/2 cents,
May 25 Soybeans closed at $10.45 3/4, down 14 1/2 cents,
Nov 25 Soybeans closed at $10.44, down 11 1/2 cents,
New Crop Cash was $9.80 3/4, down 11 1/2 cents,
On the date of publication, Austin Schroeder did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.