Prices for soybeans under pressure from the USDA report
In a December report USDA evaluation of the stocks of soybeans in the world and in particular in the United States increased slightly, while the export forecast slightly reduced. Remained unchanged the forecasts of soybean production in Argentina (57 million tons) and Brazil (108 million tonnes), while recently the Brazilian Agency CONAB has increased its forecast of soybean production to 109.2 million tons.
World ending stocks increased by 0.42 million tonnes to 98,32 million tonnes due to the reduction in processing volumes and an increase in the initial stocks.
Yesterday the January soybean futures fell 0.6% to 360,6 $/ton, soybean meal has depreciated 3.1 $/t to 364 $/ton, and soybean oil fell to 740 $/t
the Strengthening of the dollar against a basket of world currencies reduces the competitiveness of American grain, which is reflected in the report USDA a decline in forecast U.S. exports of soybeans and wheat in season 2017/18.
Precipitation, which will be held in Argentina next decade, will improve the condition of crops, which will become an additional factor of pressure on prices.