Soy Futures Gaining into Report Day

Soybean futures are starting off Friday with 2 to 8 ¾ cent gains. USDA will release updated US and global supply/demand estimates at noon EST/11 am CST. The Soybean Oil futures led the soy complex on Thursday with 3.6% gains of over 170 points. The Jan contract is still at a net 32 point loss for the week’s move. Beans settled up by more than a 1%, with double digit gains of as much as 16 ¼ cents. Preliminary open interest suggests net new buying interest on Thursday, rising 4,747 soybean contracts (all months). Jan soybean futures went home on Thursday with a net 13c loss for the week to date. Soymeal rallied off the daily lows, but still closed $0.40 to $1.70 in the red on the day. 

Canadian Canola Prices  were also boosted by the strong soy oil trade, ending the Thursday session 2.4% in the black – limiting the net weekly draw down to $13 CAD/MT going into Friday.

CONAB cut their Brazilian soybean production estimate to 160.18 MMT, down 2.24 MMT from last month. They still have planted area up 2.8% from last year at 45.309 million HA. Exports for the 2023/24 campaign are expected to be 109.59 MMT (4.026 billion bushels, or not quite double the November forecast for US shipments). 

The weekly data confirmed 1.518 MMT of soybeans were sold during the week that ended 11/30. That was a 20% drop for the week but was still 2x the same week last year and was within estimates. Total soybean commitments were up to 1.19 billion bushel – 16% behind last year’s pace.  

Jan 24 Soybeans  closed at $13.11 3/4, up 16 1/4 cents, currently up 7 3/4 cents

Nearby Cash   was $12.56 7/8, up 16 3/4 cents,

Mar 24 Soybeans  closed at $13.30 1/4, up 14 3/4 cents, currently up 7 cents

May 24 Soybeans  closed at $13.44 1/4, up 14 1/4 cents, currently up 6 1/2 cents