The price of soybeans began to grow after the corn market

Rain in the corn belt of the USA have significantly changed the forecasts of acreage and harvest of soybeans and corn in the new season. For the month futures on corn grew by 16%, soybeans by 13%. Data a new report, NASS USDA suggests that farmers tried to sow the area with corn, not soy, since not see prospects of enhancing exports to China even with the improvement of trade relations with the United States as the number of pigs in China has decreased dramatically due to ASF.

As of June 24, the U.S. planted soybean, 85% of space compared to 77% last week, 97% on average for 5 years and the expectations of the traders in the range of 86-89%. Even if the North will continue after the optimal timing, it will not significantly change the yield of the oilseed. Shoots were obtained on 71% of areas, compared with 91% in average of 5 years.

the Final report on crops in the U.S. crop forecast, which publishes on Friday, will be the main benchmark prices for next month. The meeting of the presidents of the United States and China at the end of the week, where should be defined the conditions of commercial transactions, can also significantly affect the soybean market.

the Export of soybeans from the U.S. last week rose compared with the corresponding period last year by 32% to 682 million tonnes, of which 77% was sent to China.

According to the Commission on trade in commodity futures in the week investors reduced their short positions in soybeans by 39% to 55307 options. This indicator measures the difference between rates for rising and falling prices and is now the lowest since the end of March.

For corn, the number of long positions grew by 29% to 143515 contracts, the highest level since may of 2018 and indicates expectations of further price growth.

the price of soy would support decrease rates of sowing of soybean in India due to heat and the delayed monsoon season for 2 weeks. According to the agriculture Ministry of the country as of 21 June, the pace of sowing is lagging behind at 57%. For the week, the moisture deficit has decreased from 44% to 38%, and in the next two months in the country will continue to rain.