Soy Rally Extends through Tuesday

The domestic soy market continued its rally through Tuesday. Beans slipped some into the close, ending more than a dime off the highs, but were still 1.1% to 2.6% higher on the day. Soymeal prices added 3.4% to 4.08% to the upside on the double digit gaining day. Front month meal futures also set new contract highs on Tuesday. BO futures ended with 87 to 101 point gains on the Tuesday rally of 1.5%. After the dust settled, the gains for meal were enough to extend the CME Synthetic Soy Crush  spread by 10 1/2 cents to $1.54/bu. 

USDA announced a 132k MT new crop (22/23 marketing year) sale of soybeans to China this morning. 

USDA reported 198.22 mbu of soybeans were crushed in December. That was above the average estimate and at the top end of the expected range, for the largest single month crush on record. The previous record was earlier this season with 196.92 mbu crushed in October. The 21/22 marketing year crush reached 747.15 mbu through the first 4 months, which is 8.1 mbu behind last year’s record pace and 34.1% of the USDA forecasted total. Soy oil stocks were below estimates, but still up from November, at 2.466b lbs.  

Crop condition ratings in Argentina continue to improve following recent rains, with 38% of the soy crop rated good vs. 30% last week. 

Mar 22 Soybeans  closed at $15.28 1/2, up 38 cents,

Nearby Cash  was $14.82 1/8, up 39 1/4 cents,

May 22 Soybeans  closed at $15.34 1/4, up 39 cents,

Nov 22 Soybeans  closed at $13.82, up 15 cents,

New Crop Cash  was $13.27 1/4, up 17 1/8 cents,