Soy Futures Rally for Friday

The domestic soy market went into the weekend with Friday gains. Soybean futures closed 8 1/4 to 12 cents stronger. For the week March was up 51 cents from Friday to Friday. Soymeal ended the day with $2 to $2.60/ton gains. BO futures closed with 121 to 106 point gains. The weekly average cash B100 price was down from $5.55 to $5.48/gal during the week of 2/11. 

The weekly CoT report showed soybean spec traders were adding longs going into the USDA report. That extended their net long by 11,827 contracts to 166,315 contracts. The commercials were also adding hedges going into the report, with a 41,943 contract boost to OI and a 5,867 contract stronger net short. In soymeal spec traders were net buyers as well, extending their net long by 11,395 contracts to 88,138 as of 2/8. BO traders were 7,694 contracts less net long to 72,782 contracts.  

Conab reduced its estimate for Brazilian soybean production to 125.5 MMT. That was a major drop from 140 MMT last month and well below USDA’s new 134 MMT figure. The Rosario Grains Exchange revised their Argentina soy output 500k MT higher to 40.5 MMT.  

Mar 22 Soybeans  closed at $15.83, up 8 3/4 cents,

Nearby Cash   was $15.37 3/4, up 8 5/8 cents,

May 22 Soybeans  closed at $15.86 1/4, up 9 3/4 cents,

Nov 22 Soybeans  closed at $14.44, up 12 cents,

New Crop Cash   was $13.95 3/4, up 11 7/8 cents,