Soybeans Collapse on Short Session Amid Product Selling

Soybeans faced pressure for much of the Friday session, as contracts fell 14 ¾ to 25 ¾ cents on the short trading day. The product values were of no support, as front month Soymeal futures were down 70 cents to $3.50. Soybean Oil futures dropped anywhere from 148 to 242 points on the day.

USDA reported a couple private export sales via their flash sales reporting system this morning, with 129,000 MT sold to China and 323,400 MT sold to unknown destinations.

Friday morning’s Export Sales report from USDA showed soybean sales backing off to a 7-week low at 961,270 MT in the week that ended on November 16. That was on the low end of the trade’s expectations, which ranged from 0.8 to 1.8 MMT for the 23/24 crop. Sales for the 24/25 crop were within expectations of 0-20,000 MT at 9,000 MT for that week. The Total of shipped and unshipped sales for 23/24 are now 61% of USDA’s forecast, at 29.055 MMT, compared to the normal 65% pace for this week. 

Soy meal sales were on the lower end of what the trade expected (100,000-550,000 MT) at 203,619 MT in the week ending last Thursday. Bean oil sales were shown at 282 MT for the current marketing year, with the next MY at a net sale of 372 MT.

Argentina’s Soy Dollar, the preferential exchange rate to entice soybean exports and generate tax revenue was extended to December 10. Safras & Mercado cut their Brazilian soybean production estimate by 1.87 MMT from their previous number to 161.38 MMT.

Jan 24 Soybeans  closed at $13.30 3/4, down 25 3/4 cents,

Nearby Cash   was $12.71, down 25 3/4 cents,

Mar 24 Soybeans  closed at $13.48 3/4, down 25 1/2 cents,

May 24 Soybeans  closed at $13.62, down 25 1/4 cents,