Soybeans Rally to Start the Week, USDA Confirms Drop in Conditions

Soybean pellets and soy milk

Soybean saw some bull spreading on Monday, as front months were up 10 to 14 ¾ cents, as 2025 contracts and beyond were 7 ½ to 9 ½ cents higher. Soymeal futures rallied on Monday with an export sale announcement, with contracts up $3.60 to $11/ton. Soy Oil futures were down 23 to 54 points on the day. Heavy rains brought up to 10-15 inches or more in parts of SD, MN, and IA over late last week into the weekend, causing flooding in areas north and east along the Missouri River. 

USDA issued a private export sale announcement of 228,000 MT of soybean meal for the 2024/25 marketing year to the Philippines this morning.

Crop Progress data indicated that 97% of the US mean crop as planted by Sunday, 2% ahead of normal, with emergence 3% faster than average at 90%. USDA also tallied 8% of the crop blooming, 2% above normal. Crop ratings were down 3% to 67% gd/ex, as the Brugler500 index was 8 points worse to 368.

This morning’s Export Inspections report indicated 342,293 MT of soybeans shipped in the week that ended on 6/20. That was well above the same week from 2023 and just slightly above the week previous. Egypt was the lead destination for shipments at nearly a third of the total (113,216 MT), with 73,290 MT headed to Mexico and 58,207 MT to Germany. Total shipments for the marketing year have totaled 41.23 MMT (1.51 bbu), which is down 16.2% from the same period last year. 

A delayed Commitment of Traders report saw managed money in soybean adding another 30,090 contracts to their net short at 105,970 contracts as of last Tuesday.

Jul 24 Soybeans  closed at $11.75 1/4, up 14 3/4 cents,

Nearby Cash  was $11.23 5/8, up 17 3/4 cents,

Aug 24 Soybeans  closed at $11.60 1/2, up 13 1/2 cents,

Nov 24 Soybeans  closed at $11.30 1/2, up 10 1/2 cents,

New Crop Cash  was $10.76 5/8, up 12 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.