News

US soybean prices strengthened

Soybean
Published Apr 15, 2024

Tridge summary

Grain futures on the Chicago Mercantile Exchange, including corn, wheat, and soybeans, saw an increase in prices, with soybeans notably rebounding from a recent low. This market movement was influenced by the latest USDA supply and demand data, which presented a contrast to Brazil's Conab agency's lower soybean production estimates due to poor weather. The differing forecasts between the USDA and Conab have led to discussions among investors and analysts. Additionally, the USDA cut its forecast for Argentina's corn harvest because of disease issues, and there are growing concerns about how tensions in the Black Sea region, particularly regarding Ukraine, might disrupt wheat trade.
Disclaimer: The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Chicago Mercantile Exchange grain futures rose Friday and soybean prices rose a day after hitting a one-month low as markets reacted to bearish USDA supply and demand data. Investors were puzzled by the persistent discrepancy between the USDA and Brazilian crop agency Conab's corn and soybean production estimates. The USDA on Thursday left its estimate for Brazil's 2023/24 soybean crop unchanged at 155 million metric tons, while Conab cut its forecast to 146.522 million metric tons, citing unfavorable weather conditions. Jim Gerlach, president of A/C Trading, said the USDA forecast was “stupid” and Friday's rise was evidence of that. “All you have to do is look at the cash markets,” he said. “The Brazilian soybean market has shown incredible growth. This tells me that the Brazilian crop forecast is probably closer to the USDA forecast.” The most active CBOT corn contract added 5-1.2 cents to $4.34-1/4 a bushel in late afternoon trading, after earlier falling to its lowest level in ...
Source: Oilworld
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