Soybean Futures Recover, Trading Higher Ahead of Export Sales Report

Overnight soybean futures had traded double digits lower, but are now 3 to 9 cents higher in anticipation of the weekly USDA Export Sales report. The soy complex rallied sharply. For beans that left the board 21 1/2 to 32 3/4 cents in the black. New crop futures were also up by double digits to new contract highs. Soymeal prices were $8.40 to $8.50 higher on the day with March back above the $400/ton mark. Soybean oil futures were also up by triple digits, having gained 137 to 142 points. The May contract closed back to 64 c/lb after setting new contract highs. 

Export Sales estimates ahead of the weekly report range 500,000 MT to 1.3 MMT for old crop beans. The trade expects to see between 250k and 600k MT of new crop was forward booked during the week that ended 1/20. For soymeal, estimates range from 100k MT to 400k MT. Soybean oil export sales are estimated to be less than 35k MT from the week that ended 1/20. 

FOB Export prices for Brazilian soybeans continue to indicate abundant supplies, offered roughly 56 cents per bushel below US offers. 

Mar 22 Soybeans  closed at $14.40, up 32 3/4 cents, up 5 ½ this morning

Nearby Cash  was $13.95 ¼ on Wednesday, up 32 3/4 cents,

May 22 Soybeans  closed at $14.47, up 31 cents, up 5 ¼ this morning

Nov 22 Soybeans  closed at $13.34, up 15 1/2 cents, up 9 ¾ this morning

New Crop Cash  was $12.76 3/8 on Wednesday, up 15 7/8 cents,