Soybean Market Update: Holding Steady on Friday
Soybean futures are showing steady trading action on Friday morning, following gains made on Thursday. Contracts closed higher on Thursday, with increases of 10 to 11 cents. Market participants are closely watching these movements for indications of future price trends.
Soybean Futures and Cash Prices
Preliminary open interest increased by 2,882 contracts on Thursday, indicating some roll action. November contracts were down 5,559, while January contracts were up 5,127. The cmdtyView national average Cash Bean price saw an increase of 11 1/2 cents, settling at $9.46 1/4. Soymeal futures experienced gains ranging from $1.90 to $6.60, and Soy Oil futures were up 2 to 7 points.
Crop Insurance and Harvest Price
The process of determining the harvest price for crop insurance is currently underway, calculated using the average November soybean close during October. The average close for the first two days of October is at $10.18, compared to the spring price of $10.54. This is a critical factor for farmers managing their risk.
Potential Trade Aid Package
Following statements from Secretary Bessent hinting at news regarding potential trade aid for producers on Tuesday, a Wall Street Journal report suggests the White House is considering an aid package in the range of $10-14 billion. Specific details of this potential package remain undisclosed.
S&P Global Reduces Soybean Crop Estimate
S&P Global has revised its estimate for the US soybean crop downward on Thursday to 53.0 bpa, a reduction of 0.8 bpa from the previous month's estimates. This adjustment puts projected production at 4.261 billion bushels.
| Contract | Closing Price (Thursday) | Change | Current Price (Friday AM) |
|---|---|---|---|
| Nov 25 Soybeans | $10.23 3/4 | Up 10 3/4 cents | Down ¼ cent |
| Nearby Cash | $9.46 1/4 | Up 11 1/2 cents | N/A |
| Jan 26 Soybeans | $10.41 3/4 | Up 10 3/4 cents | Down ¼ cent |
| Mar 26 Soybeans | $10.56 1/4 | Up 10 cents | Unchanged |
Disclaimer: 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. This article was originally published on Barchart.com.
