Soybeans close 16¢ higher | Monday, October 25, 2021
On Monday, the CME Group’s farm markets turn mostly green.
At the close, the Dec. corn futures finished unchanged at $5.38. March futures closed unchanged at $5.46. May corn futures settled ¼¢ lower at $5.50.
November soybean futures finished 16¾¢ higher at $12.37.
Jan. soybean futures closed 16¢ higher at $12.47. March soybean futures ended 16½¢ higher at $12.56.
Dec. wheat futures ended 3½¢ higher at $7.59.
Dec. soymeal futures closed $0.20 per short ton lower at $327.20.
Dec. soy oil futures settled 1.05¢ higher at 63.14¢ per pound.
In the outside markets, the crude oil market is $0.03 higher per barrel higher at $83.79, the U.S. dollar is higher, and the Dow Jones Industrials are 77 points higher (+0.22%) at 35,758.
Jack Scoville, PRICE Futures Group, says that today’s price action is mirroring demand ideas.
“Today’s USDA Weekly Export Inspections Report showed good demand for soybeans but not corn. So, we can see the price reaction at this time. All markets are acting like they want to go higher over time, but a setback might be coming first in correction trading,” Scoville says.
Scoville added, “I have not heard if the funds are buying or selling, but I think they are buying beans but not grains. I doubt any real fund-selling interest in the grains, just no real buyers. I still think the harvest lows were made early this year, but that is a little contra-seasonal. Normally, we make lows near the end of harvest in big crop years.”
Al Kluis, Kluis Advisors, says that investors are eyeing China’s demand for U.S. commodities.
“China will show up again this week as an active buyer of U.S. soybeans. I think they have bought soybeans again on the late-week price correction. Watch the daily USDA sales reports and the weekly Export Sales report on Thursday,” Kluis stated in a note to customers.
Kluis added, “Will soybeans put in a low on Friday, when the November soybean options expire? The November soybean option expiration is a key date that I watch for a change of trend.”