A check of early Thursday futures trading shows soybeans are another nickel higher after the double digit rally on Wednesday. The new crop export sale announced yesterday morning helped boost the soybean market to double digit gains on Wednesday. Soymeal futures actually led the way on Wednesday with $8 gains (> 2.4%). Beans finished the session over the $12 mark with 14 ¾ to 23 cent gains. Nov is now a 9 ¼ cent discount to spot prices. Rounding out the soy complex, Soy Oil futures also rallied by over 1% with 80 point gains.
Front month Canadian Canola Prices were up by over 2% on the day, now sitting 13% off the contract lows.
USDA reported a 120k MT sale of new crop soybeans to unknown this morning. Weekly old crop export business is expected between 250,000 MT and 800,000 MT for the week that ended 3/14. Traders are looking for new crop sales to come in below 100k MT in the report tomorrow morning. Meal sales are expected to be between 150k MT and 450k MT.
Brazilian freight sources are expecting March soybean exports to reach 14 MMT (514 million bushels). If achieved, that would be 6% above last March and a new record for the month. For perspective, US soybean crush for the entire Sep-Nov quarter was 576 million bushels.
May 24 Soybeans closed at $12.09 1/2, up 24 cents, currently up 5 cents
Nearby Cash was $11.52 1/4, up 23 1/4 cents,
Jul 24 Soybeans closed at $12.23 1/4, up 23 cents, currently up 5 cents
Nov 24 Soybeans closed at $12.00 1/4, up 19 cents, currently up 5 1/4 cents
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