Soy Market Pulls Back on Thursday

At the closing bell for the Thursday session soybeans were down by double digits. For old crop that was 19 to 26 cents, while new crop prices were 8 to 15 1/2 cents in the red. Soymeal prices closed $7.20 to $7.30/ton weaker. Soybean oil futures ended the session 88 to 110 points in the red. 

USDA’s FAS reported 735,598 MT of beans were sold during the week that ended 1/6. That was 92% above last week but down 19% yr/yr. Of that, China bought 301,795 MT or 41% of the total. MYTD China’s commitments account for 57% of the 1.559 bbu total. Those commitments are 76% of the WASDE forecast. 

As for the products, weekly Export Sales data showed soymeal bookings were 104,232 MT. That was inline with the pre-report estimates and up 230% wk/wk. Total meal commitments were 6.23 MMT as of 1/6, which is now 40.4% of the updated MY forecast. BO bookings were net reduced by 2,936 MT as Canada canceled 3k MT. USDA reported 12,582 MT of soy oil was exported during the week, which was down 70% from last week, but was 12% above the same week last season. Accumulated exports match last year’s pace.  

Private firm Planalytics reduced their projected soybean yield for Brazil and Argentina. For Brazil they cut 0.08 MT/HA for a 3.44 MT/HA yield (51.15 bpa), and for Argentina they trimmed soy yield by 0.03 to 2.86 MT/HA (42.52 bpa). USDA’s WAOB went with 51.15 bpa and 42.68 bpa yesterday respectively. Abiove also reduced their forecast for Brazil, going with a 4.8 MMT reduction to 140 MMT output projection and 91.1 MMT for exports. USDA had Brazilian output at 139 MMT with 94 MMT for export.  

Jan 22 Soybeans  closed at $13.65 1/4, down 26 cents,

Nearby Cash  was $13.35 7/8, down 22 3/8 cents,

Mar 22 Soybeans  closed at $13.77 1/4, down 22 cents,

Nov 22 Soybeans  closed at $13.04 1/2, down 8 cents,

New Crop Cash  was $12.45 5/8, down 8 1/4 cents,