Prices for soybeans rose after the USDA balance
Experts USDA in its October report decreased relative to the previous balance forecast world production soy in season 2017/18 1 million tonnes to 347,8 million tons, 3.4 million tons lower than in the last season.
reducing the yield assessment was due to non-core producers. But for the U.S. crop forecast was reduced from 120,59 to 120,58 million tonnes, which will still exceed last year's 116,92 million tonnes At th same time, the forecast of soybean production in China increased by 0.2 million tonnes to 14.2 million tonnes from 12.9 million tonnes the previous season.
the Amount of world exports soybean reduced by 1 million tonnes to 150,9 million tonnes, which exceeds the level 2016/17 MG by 3.44 million tonnes, the Export potential of the main exporting countries remained unchanged.
World ending inventory compared with the September report will be reduced from 97,5 to 96,04 million tonnes, which will exceed 94,8 million tons last season. The reserve estimates for Brazil reduced from 22.5 to 21.9 million tons (against 24.4 million tonnes in 2016/17 MG), USA from 12.9 to 11.7 (8,2) mln t. for Argentina with up to 37,13 of 37.06 (35,9) mln t and China from 19.4 to 19.6 (20,19) million tons.
Soybean futures in Chicago responded to report growth of 2.9% to 365 $/t, which was the highest figure since July, 2017.
Traders did not expect that the estimation of soybean yields in the U.S. will shrink by 0.4 bushel/act, and therefore began actively buying soybeans. However, the forecast of soybean production in the U.S. remained unchanged due to the increase in acreage for harvest and carryover stocks will be the highest over the past 11 years.