Prices for soybeans remain under pressure of fundamental factors

2018-03-15 12:08:56
Machine translation
Prices for soybeans remain under pressure of fundamental factors

the Market for U.S. soybeans remains pending the decision of China to limit imports of soybeans from the United States in response to the introduction of trump import duties on steel and aluminum.

 

Yesterday, the may soybean futures in Chicago continued the decline that began on Friday, and fell by 1.7% to 380,4 $/t

 

Additionally, on price pressure posts analysts about the intentions of American farmers to increase the acreage under soybean from 90 to 92 million acres, while reducing the maize from 90 to 88 million acres.

 

the Intention of China to limit imports of soybeans from the United States to boost sales and contribute to higher prices from other suppliers. Brazil in January-March this year exports of 16.5 million tons of soybeans, 22% exceeds the figures of the corresponding period in 2017. In the last week despite soaring prices Brazil sold to China 40 vessels of soybeans in April-may. China is willing to buy Brazilian soybeans, and to pay the premium for high protein to avoid possible losses from imposing import duties on U.S. soybeans.

 

soybean Exports from U.S. to China as of 01.03.18 amounted to 27.7 million tonnes, which is by 6.65 mln MT is inferior to the pace of exports last season. Through caused by lack of capacity and logistical problems in the ports of the Southeast and the West coast of the United States, Chinese buyers refuse to buy us soybeans.

 

Another factor of pressure on prices was forecast for rain in the East of Argentina that will have a positive impact on the soybean crop, 85% of which are in the phase of filling. It immediately reacted futures for soybean meal in Chicago, which declined 1.3% to 409,29 $/t

 

In Ukraine, the price of soybeans is increasing due to increased demand from buyers and higher prices for Brazilian soy. Traders in the port offer 400-405 $/t or 12500-12600 UAH/MT for soybeans with GMOs and 425-430 $/t or 13000-13200 UAH/t for soybeans non-GMO.