Soybeans Drop Off Into the Weekend

Nov beans netted a 15c gain for the week, most of which came on Thursday after the reports. Friday’s trade printed a 25c range and the front months settled 5 ½ to 9 ¾ cents in the red. Soymeal futures closed $2.90 to $3.30 per ton weaker on Friday. Soybean Oil futures extended the strength into the weekend, with 101 to 96 point gains on Friday. Despite that, Dec BO still finished the week on a 97 point loss, the 4th consecutive down week. 

The Commitment of Traders report had soybean spec traders on a 2,166 contract net long as of 10/10. That was down from 5k contracts last week, though the group hasn’t been net short since Covid. Commercials added soybean hedges through the week, with 30k new contracts in play, for a 1,316 contract stronger net short. In soymeal, managed money funds were 9k contracts less net long to 32,059 contracts. Spec traders reduced their net long in BO by 15.4k contracts to 26k through the week ending 10/10. 

The Export Sales report showed 1.057 MMT of soybeans were sold during the week that ended 10/5. That was a 38-wk high and was above estimates. Total soybean commitments were at 19.51 MMT (716.8 mbu) as of 10/5 – trailing last year’s pace by 29%. The weekly report showed 60k MT of soymeal sales to start the new season with 4.6 MMT on the books. BO bookings were 5.3k MT for the week leaving the season’s commitments at 17k MT. 

Nov 23 Soybeans  closed at $12.80 1/4, down 9 3/4 cents,

Nearby Cash   was $12.20 1/2, down 9 1/2 cents,

Jan 24 Soybeans  closed at $13.00, down 8 3/4 cents,

Mar 24 Soybeans  closed at $13.12 3/4, down 6 3/4 cents,