Soybean futures fell to the lowest in 14 months level

2017-05-29 13:32:24
Machine translation
Soybean futures fell to the lowest in 14 months level

at the End of last week, the July soybean futures fell 1.4% to 9.26 cents/bushel. Overall during the week the price of soybeans fell by 3% and reached the lowest level for the last 14 months.

 

the Main reason for falling prices is the decline in world demand for soybean meal and the continued reduction of the margin level during the processing of soybeans into China which is the world's largest importer of the oilseed.

 

Today, the margin of Chinese processors is only 65 yuan or 9 $/t per ton of soybeans, after which began to appear the rumors about the cancellation by Beijing of some agreements with the USA on purchase of soybeans. This news, coupled with increased competition in the soybean market due to the harvest in Argentina and Brazil led to a decrease in demand for soybeans from traders and, as a consequence, falling prices.