Nov Soybeans closed 3 ¼ cents lower ($9.93), March 2 ½ cents lower ($9.93 ¾) & July 1 ¼ cents lower ($9.98 ½)
October Soybean Meal closed $5.3 lower ($327.3), Dec $2.0 lower ($331.9) & March $0.5 lower ($329.1)
October Soybean Oil closed 42 pts lower ($32.87), Dec 42 pts lower ($32.69) & March 36 pts lower ($32.82)
USDA announces Soybean Export Sales – 100.0 K T. sold to Mexico
The entire soybean complex continues in its current correction phase. Nov soybeans seem to be stair-stepping down to suggested interim support levels. Today’s suggested support was $9.85 and so far it has held. Neither of the products price action suggests the correction is over. Soybean oil has been trying to upflag out of last week’s sharp break. Its not a warm and fuzzy looking price formation. December soybean meal is still looking at the mid-$320’s for support.
Interior cash soybean markets run steady to better on the day. The Gulf remains strong. If soybean are indeed being sold off of the combine basis levels are still asking for more. Remember we still have 75-80% of harvest yet to go.
I’m not looking for any fireworks from tomorrow’s USDA reports as they deal with old crop and going forward we’re all about the new crop. Quarterly soybean stocks are expected at 576 million bu. Earlier this month the USDA suggested last year’s carryover at 575 million bu. The update for last year’s soybean production is being guessed at 3.575 billion bu. Recent supply-demand reports have been using 3.552 billion bu.
Daily Support & Resistance – 9/30
Nov Beans: $9.85 – $10.08
Dec Bean Meal: $328.0 – $337.0
Dec Bean Oil: $32.25 – $33.25
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