Brazil: Soybean producer who didn't sell this Monday regretted it on Tuesday, says Safras

Published May 22, 2024

Tridge summary

The Brazilian soybean market experienced a price drop on Tuesday, driven by lower prices on the Chicago Board of Trade (CBOT) despite some support from premiums. Sellers were reluctant to lower prices from Monday's levels, and a slight increase in the dollar had minimal effect. Soybean futures in Chicago declined as investors took profits after Monday's gains, supported by good planting progress in the U.S. and a decrease in oil prices. The USDA reported that 52% of soybean planting was completed by May 19, surpassing market expectations. Floods in Rio Grande do Sul are anticipated to reduce the state's harvest. Soybean contracts for July and August, along with by-products like bran and oil, also saw declines. The commercial dollar slightly rose, closing at R$5.1162 for sale.
Disclaimer: The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

The movement of the Brazilian soybean market this Tuesday was basically the opposite of yesterday: prices went from stable to lower, following Chicago, but with some support in premiums. According to Safras Consultoria, sellers were withdrawn that day, wanting Monday's quotes. The dollar rose little and did not make much difference to prices. Soybean futures contracts traded on the Chicago Board of Trade (CBOT) closed Tuesday with lower prices. After the strong rise on Monday, investors chose to take profits. The good progress of planting in the United States and the drop in oil prices helped with the correction. Yesterday (20), the United States Department of Agriculture (USDA) released a report on the evolution of soybean planting. Until May 19, the planted area was estimated at 52%. The market expected 49%. Last week, it was 35%. In the same period last year, sowing was 61%. The average is 49%. The market is still closely monitoring the situation in Rio Grande do Sul. As a ...
Source: CanalRural
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