Soy Futures Red at Midday

Front month soybeans are working 30 to 36 1/4 cents lower at midday. Soymeal futures are down double digits with near 3% losses. BO futures are trading 77 to 113 points in the red so far. 

Weekly Export Inspections data showed 605,129 MT of soybeans were exported during the week of 6/9. That was nearly double the 365k MT last week and compares to just 141k MT shipped during the same week last year. USDA’s FAS had the MYTD soybean export at 50.47 MMT through 6/9. That compares to 57.05 MMT during the same week last year – an 11.5% drop compared to the WASDE’s projected 4% drop from 2020/21’s record. 

Friday’s WASDE update showed old crop soybean stocks were 30 mbu tighter on increased exports. That left carryout at 205, which was also the only change to new crop as a tighter carry-in. 22/23 domestic stocks are forecasted at 280 mbu. Globally, the USDA raised South American production to 126 MMT in Brazil and 43.4 MMT in Argentina. That lifted the global stocks to 86.15 MMT from 85.2 MMT in May. The NMY ending stocks were up 800,000 MT from May to 100.46 MMT. 

Indonesia approved 1.16 MMT of palm oil exports under the permit program. News on the wire suggested Indonesian exporters who don’t have permits could ship palm oil buy paying an export tax in lieu of a permit. China will release 500k MT of soybeans in a state reserves auction on Friday. 

Trade ideas for US planting progress are 88-89% through Sunday, which would be faster than the 5 year average pace.

Jul 22 Soybeans  are at $17.09 1/2, down 36 cents,

Nearby Cash  is at $16.66 3/4, down 33 3/8 cents,

Aug 22 Soybeans  are at $16.29 1/4, down 32 3/4 cents,

Nov 22 Soybeans  are at $15.31 1/4, down 37 cents,

New Crop Cash  is at $14.78 5/8, down 36 5/8 cents,