Soybean Futures Close Off Lows

Beans tried to work lower a few times on Friday but ultimately went home with losses contained to just 3 cents. November stayed in a 21 cent range during the day. Nov beans ended the week a net 36 1/4 cents higher (2.6%) from Friday to Friday. November was a 77 cent discount to Sep last week and is now 55 1/4 cents under where Sep rolled off the board ($15.03). 

The CoT report showed soybean spec traders were net buyers during the week that ended 9/13. That increased their net long 12,498 contracts (12.5%) to 112,127 contracts. Commercial soybean hedgers increased their open interest 41,317 contracts (7%) during the week. That extended their net short by 6.8k contracts to 140,469. 

Friday trading in the products led meal $4.90 to $7.10 lower and BO triple digits higher. For the week October soymeal was 3.6% higher and soybean oil was up 3%. 

The CFTC reported meal specs as 87,714 contracts net long on 9/13, a 6,093 contract stronger net long via net new buying on top of short covering. The funds were also closing BO shorts and adding BO longs through the week for an 11,288 contract stronger net long of 55,270 contracts – a 14-wk high. 

China has been buying Argentine beans after Argentina created a soy dollar exchange rate to encourage farmer sales.

Nov 22 Soybeans  closed at $14.48 1/2, down 3 cents,

Nearby Cash   was $14.09 5/8, down 4 1/4 cents,

Jan 23 Soybeans  closed at $14.55 1/4, down 2 3/4 cents,

Mar 23 Soybeans  closed at $14.56, down 2 1/4 cents,