What’s influencing global soybean prices?

Published 2024년 8월 7일

Tridge summary

The article highlights the downward trend in global soyabean futures, with pressure also affecting the rapeseed market. The trend is largely due to improved US weather conditions, which have improved the supply outlook, and concerns over demand and ample supplies. The USDA's positive crop progress report and forecasted cooler temperatures are further boosting optimism about soyabean yields. However, concerns over demand from the biofuel industry and expectations of a larger global soyabean crop contributing to heavy supplies and limiting price support are bearish factors. Rapeseed futures are expected to follow this trend, but the current Middle East crisis and reduced rapeseed production in Europe and Australia could potentially drive the rapeseed premium over soyabeans further.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Sign up to receive the Weekly Market Report and Grain Market Daily from AHDB. Global soyabean futures have trended downwards recently, and pressure has at times filtered through to the wider oilseeds complex, including rapeseed. It’s therefore important to explore some of the key factors driving the price trend. In the short-term, improved US weather has benefitted the supply outlook, and longer-term lacklustre demand and plentiful supplies could weigh on prices further. In the last couple of weeks, as the crop progresses through its key development stage, we have seen welcomed rain in the US easing concerns over soyabean yields which were initially under pressure from hot and dry conditions. On Monday, the USDA’s crop progress report showed a slight uptick (1 percentage point) in the proportion of the crop rated good or excellent compared to last week. The weather forecast in the next seven days suggests cooler-than-normal temperature in the key soyabeans producing areas in the ...

Source: Ahdb