Soybean futures markets experienced significant pressure during Monday morning trading, with losses ranging from 32 to 35 cents across contracts. This decline followed a stronger Friday session in which futures closed steady to 10½ cents higher, with August contracts gaining 43½ cents for the week and November contracts advancing 50½ cents. The national average cash bean price had risen 9¾ cents to $12.14¾ on Friday.
Weather conditions emerged as a primary headwind for prices. The National Oceanic and Atmospheric Administration’s 7-day quantitative precipitation forecast predicted 1 to 2 inches of rainfall across much of the Corn Belt region spanning Nebraska, Iowa, Missouri, Illinois, and Indiana over the following week. The Dakotas and Minnesota were expected to receive less than 0.5 inch, with spotty amounts up to an inch in some areas. Additionally, sharply lower crude oil prices contributed to bearish market sentiment.
Soymeal and soy oil futures showed varied performance. Soymeal contracts traded in a range of $1.40 to $3.70, with August contracts posting an $11.10 gain since Friday. Soy oil futures declined 27 to 126 points at Friday’s close, with August slipping 48 points over the week. Specific contract prices at the close included August soybeans at $12.48, up 10½ cents, September at $12.40¼, up 9¼ cents, and November at $12.53½, up 9¾ cents.
Commitment of Traders data revealed substantial speculative activity, with spec traders adding 52,212 contracts to their net long position in soybean futures and options during the week ending July 21, bringing the net long to 124,900 contracts by Tuesday. Export sales data from the U.S. Department of Agriculture indicated that old crop export business had accumulated to 41.38 million metric tons, reaching 100% of the USDA export projection and slightly trailing the 101% pace from the preceding three years. New crop accumulated sales reached 6.136 million metric tons, representing a 135.5% increase compared to the same week the previous year.
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