Huge Gains For Soybeans

Front month soybean futures are up by 60 to 80 cents after seeing new NASS numbers. The daily limit (not applicable to July at this point) is $1.05/bu. Soymeal prices are currently up by $19.30 to $20.90/ton. The September soy oil contract is at the 4 cent limit, with 390+ point gains for the other nearbys. USDA saw the week’s average B100 cash price 9 cents stronger in MN at $4.90/gal, with IL reported at $6.07.

USDA flashed a 132k MT new crop soybean sale to China this morning.

The June Acreage data cut soybean acres by 4 million to 83.5 million. The average of trade guesses was to see a slight 200k acre increase, but even the lowest estimate was only for a 500k acre cut. ND lost the most with a 900k acre cut, as IL also shifted 800k acres from March Intentions.

The Quarterly Grain Stocks report showed a 795.6 mbu soybean supply for June 1st. That compares to 967.5 mbu last year and the trade average guess for 805. The Q3 consumption was estimated at 891.1 mbu, off 7.6% from last year. Of the supplies, NASS had 322.8 mbu still in farmer hands and 472.8 mbu off farms.

Source: barchart

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