Soybeans with Double Digit Overnight Gains
Soybeans are trading 6 to 11 cents higher to start your Friday. They got a boost from the meal value on Thursday, with bean contracts up 14 to 34 ¼ cents across the board. Flooding in southern Brazil was also a bullish input. Soymeal paved the way for the rally, with $8 to $15.90/ton gains. Soy Oil closed mixed, with nearby down 2 to 5 points and deferred steady to 2 points higher.
There were 146 deliveries vs. May meal overnight, all stopped by a Stonex client. Bean oil deliveries shrank to only 79 contracts, with a handful stopped by ADMIS. There were 196 contracts issued against May soybeans, with ADM stopping 179 for the house account.
Export Sales data from Thursday showed an improvement from the week prior at 413,997 MT of beans sold in the week ending on 4/25. Egypt was the lead buyer at 146,000 MT. USDA also reported new crop bookings at just 7,000 MT. Soybean meal bookings were below the trade range of estimates at just 131,012 MT, with bean oil bookings at a net sale of 7,195 MT.
Census data from March was also released yesterday, with bean shipments reaching 3.05 MMT (112.2 mbu), a drop of 2.6% from last year. Shipments to China were at a 12 year high for the month @ 1.767 MMT. Meal exports to all destinations were an all time high for any month at 1.49 MMT. As US bean oil inclusion rates for renewable diesel slow down, exports are picking up, with shipments totaling 44,791 MT, a 20-month high.
StoneX left their Brazilian soybean crop estimate at 150.8 MMT in their latest estimates. Rains in southern Brazil have caused some localized flooding, with Rio Grande Do Sul just 66% harvested according to AgRural. The BAGE has Argentina at 51 MMT, unchanged from the previous last year, with harvest at 36.2% complete.
May 24 Soybeans closed at $11.90, up 34 1/4 cents, currently up 12 cents
Nearby Cash was $11.40 3/4, up 31 cents,
Jul 24 Soybeans closed at $11.99, up 28 3/4 cents, currently up 10 1/2 cents
Nov 24 Soybeans closed at $11.87 3/4, up 22 3/4 cents, currently up 6 cents
New Crop Cash was $11.24 5/8, up 22 7/8 cents,
On the date of publication, Alan Brugler did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.