Soybeans Head Back Lower to Start Thursday
Soybeans are posting losses of 6 to 8 cents this morning following overnight trade. They saw 1 ½ to 5 cent higher trade on Wednesday, as there was some recovery in the product values. Soymeal ended the day with contracts up $1.20 to $3.40/ton, with Soy Oil 1 to 9 points higher in the front months and lower in the deferreds.
President Biden has suggested raising the tariff rate on Chinese steel from 7.5% to 25%. In response, China’s commerce ministry has urged the US to stop raising tariffs on Chinses products.
The weekly Export Sales report will be out shortly, with the trade range of estimates running 300,000-650,000 MT in soybean sales for the week that ended on April 11. US FOB prices have narrowed their premium to Brazil recently, but are still 50-75 cents above South American offerings. The new crop total is expected to be in the range of 250,000-450,000 MT.
Soy meal sales are seen totaling 100,000 to 400,0000 MT in that week, with bean oil in a range of net reduction of 5,000 MT to net sales of 20,000 MT.
May 24 Soybeans closed at $11.49 1/2, up 4 1/2 cents, currently down 8 cents
Nearby Cash was $10.96 5/8, up 4 5/8 cents,
Jul 24 Soybeans closed at $11.64 1/4, up 4 1/4 cents, currently down 8 cents
Nov 24 Soybeans closed at $11.61 1/4, up 2 3/4 cents, currently down 6 1/4 cents
New Crop Cash was $10.98 3/4, up 2 3/4 cents,
On the date of publication, Alan Brugler 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.