CBOT Soybean Weekly

Chicago, July 24 news; Chicago Board of Trade (CBOT) soybean futures fell about 2% for the week ended July 22, 2022, extending last week’s losses and hitting their lowest in six months as Black Sea agricultural exports resumed In sight, rainfall has improved in the Midwest. However, U.S. soybean export sales increased and crop conditions continued to decline, restraining the decline in soybean prices.

Russia, Ukraine, Turkey and the United Nations signed an agreement to restore the export of agricultural products from Ukraine’s Black Sea ports, and the prospect of improved rainfall in the Midwest in the coming week will put pressure on the agricultural product market. The forecast points to some scattered showers over the weekend, and another cold air will bring more showers and cooler temperatures in the middle of next week, easing dry conditions and favoring corn and soybeans. But the key growing period for soybeans is August, when the weather is more important.

The U.S. Department of Agriculture’s weekly crop report showed that as of July 17, 61 percent of soybeans were good to good, down from 62 percent a week earlier and 60 percent a year earlier. Soybean crop conditions continued to decline, reflecting the impact of hot, dry weather on the crop.

Soybean sales far exceeded analyst expectations. The U.S. Department of Agriculture’s weekly export sales report showed net sales of old beans were 203,500 tons in the week ended July 14, compared with a negative 362,900 tons a week earlier. Net sales of new beans were 254,700 tonnes, compared with 113,900 tonnes a week earlier.

From the perspective of fund trends, as of July 19, 2022, speculative funds held a net long position of 87,832 contracts in soybean futures and options, a decrease of 7,879 contracts from a week ago. Here’s a review of the futures market over the past week:

On July 18, soybean futures closed higher, as crude oil futures strengthened due to the possibility of extreme heat in the Midwest.

On July 19, soybean futures closed down, mainly dragged down by the drop in soybean oil in the neighboring pool.

Soybean futures fell on July 20 as the weather is expected to improve, helping to boost soybean production prospects.

On July 21, soybean futures closed lower as the energy market fell and the weather in soybean producing areas improved.

On July 22, soybean futures closed higher, and the broader market rebounded moderately due to technical oversold.

At the close on July 22, August soybean futures fell about 31.5 cents a week ago to close at 1434.50 cents/bu; November futures fell about 26.5 cents a week ago to close at 1315.75 cents/bu; January The futures contract fell 25.5 cents from a week ago to close at 1323.25 cents per bush.