Soybean futures were under pressure on Tuesday. The July contract lost 2 US cents and closed at 1,113.75 US cents/bushel. The November futures fell 3.50 US cents to 1,132.00 US cents/bushel. Products also weighed on the market, while soybean oil showed a mixed trend. Soybean meal also ended in the red at 301.10 US cents/bushel, down 1.60 US cents.
For traders, the focus was on the new US condition data. The USDA rated 65% of stocks as good to excellent, one percentage point lower than in the previous week. The decline had a fundamentally bullish effect, even if the development varied greatly from region to region. At the same time, sowing remains well ahead of the long-term average at 92 %, with 79 % of plants having already emerged.
The weather outlook has a negative impact. Rainfall of 25 to 76 mm is expected for large parts of the Midwest in the coming days. The moisture should support the crops in many growing areas. By contrast, Nebraska and the northern Plains will remain significantly drier.
Market participants are now eagerly awaiting the USDA report on Thursday. Analysts surveyed by Bloomberg expect little change in the figures for both old and new crop stocks.
Internationally, trade flows created a headwind. China's soybean imports fell by 15.3% year-on-year to 11.79 million tons in May. At the same time, the Brazilian export association ANEC expects exports of 14.38 million tons for June, which is significantly more than recently forecast.
The oilseed markets also fell. In Canada, canola lost Can-$ 1.20 to Can-$ 760.10/t in July. The August rapeseed futures price on Euronext Paris fell by €0.75 to €520.75/t.
