Chicago Soybean Complex Market Recap
Nov. Soybean finished + 12 at 1397.25, 2.75 off the high and 12 up from the low.
Jan Soybean closed up 11.25 at 1406.50. This was 11.50 up from the low and 2.50 off the high.
Dec Soymeal closed up 5.8 at 375.5. This was 6.3 + from the low and 1.1 off the high.
Dec Soybean Oil finished + 0.03 at 56.21, 0.53 off the high and 0.23 + from the low.
Nov Soybean closed sharply higher on the session and pushed to as high as 1400 before closing near the highs. This is up as much as $1.18 in just 11 trading days. A positive tome to outside markets and news of deteriorating crop conditions helped support the higher opening but better than expected rains for southern Minnesota and northern Iowa overnight helped spark a quick sell-off to near unchanged on the day early.
Talk that the drier areas of Illinois will miss out on much of the heavier rains in the next few days helped to support renewed buying interest and a new high for the day into the mid-session.
The weekly Soybeans Conditions report showed that 59% of the crop was rated good to excellent compared to 61% last week and 64% last year.
Conditions improved in Ohio but Illinois and Iowa slipped 4% to 53% and 66% respectively and Minnesota fell 5% to 68% good to excellent.
Dryness concerns persist for parts of Iowa, central Illinois and west-central Indiana. The surge higher in Corn and corn relative to Soybean has traders expecting more corn and less Soybean production in Brazil for the coming year.
Paul A. Ebeling, Jnr.
Paul A. Ebeling, Jnr. writes and publishes The Red Roadmaster's Technical Report on the US Major Market Indices, a weekly, highly-regarded financial market letter, read by opinion makers, business leaders and organizations around the world.
Paul A. Ebeling, Jnr has studied the global financial and stock markets since 1984, following a successful business career that included investment banking, and market and business analysis. He is a specialist in equities/commodities, and an accomplished chart reader who advises technicians with regard to Major Indices Resistance/Support Levels.