Soybeans Post Double-Digit Gains on Bean Oil Strength
The soybean market rallied hard on Tuesday, following the bean oil gains. Contracts were up 19 to 22 cents at the close. CmdtyView’s national front month Cash Bean price was down 21 3/4 cents at $9.79. Soymeal futures were mixed, with contracts up a dime to down 70 cents/ton. with Soy Oil futures were up 124 to 255 points to close out the day.
The bean oil strength is coming as a coalition of biofuel and oil industry reps are expected to meet with the EPA today. They are expected to argue for higher mandates for biodiesel blending, upwards of 5.5-5.75 billion gallons. The current mandated volume is 3.35 billion gallons.
The monthly Fat & Oils from this afternoon, showed 189.01 mbu of soybeans crushed during February. That was slightly ahead of analysts estimates, down 2.28% from last year’s 29-day Feb total and 11.07% below January. Bean oil stocks were tallied at 1.924 billion lbs.
StoneX trimmed their 2024/25 Brazilian soybean crop estimate by 0.8 MMT to 167.54 MMT. USDA is at 169 MMT. Brazil’s March soybean exports are estimated at 16.09 MMT according to ANEC, a 0.53 MMT increase from the previous week.
May 25 Soybeans closed at $10.34 1/4, up 19 1/2 cents,
Nearby Cash was $9.79, up 21 3/4 cents,
Jul 25 Soybeans closed at $10.49 1/4, up 21 cents,
Nov 25 Soybeans closed at $10.39 1/4, up 20 cents,
New Crop Cash was $9.78 3/4, up 22 3/4 cents,
On the date of publication, Austin Schroeder did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.