Thirty Cent Gains for Beans

The double digit bounce back for Wobble Wednesday ended with beans 1.74% to 2.2% in the black. March beans closed with 30 cent gains. Soymeal also bounced back with 1.67% to 2.1% gains in the front months. The $8.20/ton gain in March was still not enough to overcome all of yesterday’s drop. Soybean oil futures rallied triple digits to close 2.72% to 2.84% stronger. 

TheCME Synthetic Soy Crush is back up some for Midday to $1.55/bu. It was above $2/bu on the board before the meal weakness to start the week. 

The Buenos Aires Grains Exchange expects Argentina’s soy crop to be 44 MMT. The USDA had Argentina at 46.5 MMT in their Jan WASDE report. The Rosario Grains Exchange was calling for a 40 MMT bean crop. 

USDA’s Ag Attaché reduced their Brazilian soy crop estimate to 136 MMT on a 3.391 MT/HA yield. USDA’s official WASDE forecast last week was for 139 MMT and 3.44 MT/HA. The attaché cited heavy rains for flooding and disease in Mato Grosso as the main rationale for the yield cut. Unlike the WAOB’s official Jan forecast, Post saw the lighter output pull exports down to 88 MMT. That is just shy of the attache’s 20/21 record 88.5 MMT shipment (WASDE estimated at 81.6 MMT) and well below the official USDA forecast of 94 MMT forecast. 

Mar 22 Soybeans  closed at $13.91 1/4, up 30 cents,

Nearby Cash  was $13.48 1/8, up 29 5/8 cents,

May 22 Soybeans  closed at $14.00 3/4, up 29 3/4 cents,

Jan 23 Soybeans  closed at $13.04 1/2, up 20 cents,

New Crop Cash  was $12.46 3/4, up 20 3/8 cents,