The soybean market is in the red early on Fat Tuesday with contracts down 11 to 13 cents so far after China’s overnight retaliatory action against additional US tariffs. Soybeans slipped off on the Monday session with contracts closing 8 to 14 cents in the red across most months. There were another 247 deliveries issued against March soybeans overnight. The cmdtyView national front month Cash Bean price was down 8 1/2 cents at $9.45 1/4. Soymeal futures closed the Monday session with contracts down $1.50 to $2.20, with Soy Oil futures 46 to 63 points lower. There were 1,012 deliveries against March soybean meal overnight, with 215 deliveries for March bean oil.
In response to the additional 10% tariff on Chinese goods, China has suspended imports on 3 US export firms as well as issuing a 10% tariff on imports of US soybeans. For reference, there is 1.569 MMT left in unshipped sales to China.
Monday afternoon’s Fats & Oils report showed January crush totaling 212.5 mbu. That was a 2.36% decline from last month but still 9.41% larger yr/yr. Bean oil stocks were tallied at 2.09 billion lbs at the end of January, up 3.06% from last year.
Weekly Export Inspections data showed a total of 695,158 MT (25.54 mbu) of soybeans shipped in the week of 2/27. That is down 20.9% from the week prior and a 40.1% drop vs. the same week last year. China was the top destination of 350,023 MT in that week, with 64,591 MT to Egypt and 60,384 MT to the Netherlands. Marketing year exports are 37.59 MMT (1.381 bbu), which is still 9.6% larger than the same point last year.
AgRural estimates the Brazilian soybean harvest at 50% complete by last Thursday, which is 2% above the same period last year.
Mar 25 Soybeans closed at $9.98 1/4, down 13 1/4 cents, currently down 13 cents
Nearby Cash was $9.45 1/4, down 8 1/2 cents,
May 25 Soybeans closed at $10.11 1/2, down 14 1/4 cents, currently down 11 cents
Nov 25 Soybeans closed at $10.18 3/4, down 10 3/4 cents, currently down 13 cents
New Crop Cash was $9.55 1/4, down 8 3/4 cents,
On the date of publication, Austin Schroeder 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.
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