On the Chicago Stock Exchange, soybeans exhibited an upward trend, influenced by opportunistic purchases and crop reduction, as per information disclosed by TF Agro economic. The soybean contract for March24, the upcoming trading date in the USA, experienced a 0.24% increase, amounting to $2.75 cents/bushel, closing at $1134.00.
Looking at the May24 pricing, a reference point for the Brazilian harvest, there was a 0.39% uptick, equivalent to $4.50 cents/bushel, closing at $1145.25. Additionally, the March soybean meal contract recorded a 1.07% increase, with a gain of $3.5/ton, closing at $331.3. However, the March soybean oil contract marked a -0.56% decrease, translating to -$0.25/pound, closing at $44.66, as reported by the consultancy.
Oilseed prices have been exhibiting considerable volatility, both intra-session and during the closing days. The market shows a tendency to cover short positions but tends to secure profits shortly after. Operators are identifying opportunities with prices mirroring those of November 2020. Despite positive news, it appears insufficient to sustain a robust increase, according to market observations.
For instance, ABIOVE reduced its soybean production estimate in Brazil from 156.1 million to 153.8 million tons, while Hedge Point adjusted its projection from 153.4 million to 150.1 million tons. These figures lie between CONAB's estimate of 149.40 million tons and the USDA's expectation of 156 million tons, indicating a harvest in Brazil comparable to the previous year and a significant grain availability in Latin America. The agro economic consultancy concludes its analysis in anticipation of the weekend.
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