Prices for soybeans have increased due to a substantial reduction of the forecast of sowing in the United States
the new USDA report estimate of the acreage of soybeans decreased to the lowest since 2013, 80 million acres, compared to 89.2 million acres last season, 84.6 million acres in the June forecast and expert expectations in the range of 83-86. 5 million acres.
the July soybean futures rose 1.6% to 339,2 $/t
soybean Stocks in the U.S. as of June 1 amounted to 48.71 million tonnes, which is 5% inferior to the forecasts of the traders, however, 47% higher than last year due to the reduction of exports to China.
At the G-20 summit in the U.S. and China have agreed to resume trade negotiations. In addition, trump promised to withdraw restrictions from the Chinese company Huawei, and not to introduce new duties on goods from China.
At this news the prices of soy complex in the near future will increase due to the deterioration of the global balance of soybean in the next season.
Experts IGC reduced the estimate of world soybean production in 2019/20 MG of 9 million tons to 349 million tonnes, mainly through adverse weather conditions in the United States. Forecast global consumption of soybeans will increase in comparison with the current season by 2% to 358 million tonnes world trade Volume is expected at the level of the current season – 152 million tons Estimate carry-over stocks have reduced by 8 million tonnes to 45 million tonnes, which is inferior compared to the current season by 17%, but exceeds the average level.