Soybean Market Closes 12¢ Lower
DES MOINES, Iowa (Agriculture.com)--On Monday, the CME Group's corn, soybean, and wheat markets ended lower. After a sharp rally Friday, the soybean market is ignoring today's USDA news of fresh sales to China.
At the close, the Dec. corn futures settled 2 1/4 cents lower at $3.86 3/4. Nov. soybean futures finished 12 1/2 cents lower at $8.76.
Dec. wheat futures finished 2 1/2 cents lower at $5.05.
Dec. soymeal futures finished $4.10 per short ton lower at $304.10. Dec. soyoil futures finished $0.54 lower at $27.37.
In the outside markets, the Brent Crude oil market is $1.24 lower per barrel, the U.S. dollar is lower, and the Dow Jones Industrials are 273 points lower.
Alan Brugler, Brugler Marketing & Management LLC, says the global macroeconomics weigh on farm markets.
"Global weakness is the main concern. Serious problems at Conagra and Glencore, both of whom have large commodity positions. The frame contract will help narrow the 9.7 MMT deficit for Chinese bean purchases year/year, but any sales announcement this week will be ignored because it will be part of that previously announced business."
On Monday, the USDA announced huge soybean sales for 2016/17:
Private exporters reported to the U.S. Department of Agriculture the following activity:
- Export sales of 1,000,000 metric tons of soybeans for delivery to China during the 2016/2017 marketing year.
- Export sales of 249,000 metric tons of soybeans for delivery to unknown destinations during the 2015/2016 marketing year.
The marketing year for soybeans began September 1.