Soybean Complex Market Recap: 7 September 2011
Nov Soybean finished down 1.75 at 1420.75 14 off the high and 8.25 up from the low.
Jan Soybean closed down 3/4 at 1431 1/2. This was 8 up from the low and 13 3/4 off the high. December Soymeal closed down 1.4 at 373.8. This was 2.5 up from the low and 5.8 off the high.
Dec Soybean Oil finished up 0.63 at 58.67, 0.03 off the high and 0.62 up from the low.
November Soybean closed slightly lower on the day after choppy and 2-sided trade.
Positioning ahead of the USDA report for Monday helped to keep the market choppy.
Uncertainty on the yield and production outlook and talk of sluggish demand from China helped keep the trade choppy.
A more positive tilt to outside market forces and a surge higher in energy prices helped support the higher trade early in the session.
Weakness in the USD and strength in Corn also helped to support the early bounce.
Thoughts that the better than expected rain on the weekend for Minnesota and northern Iowa and rains in northern Illinois plus better rains for Ohio in the past week may help to see some improvement in crops in these areas helped to spark some long liquidation selling into the mid-session and the market pushed lower on the day into the mid-day.
A major weather firm pegged soybean yield at 40.3 bu/acre and production at 2.924-B bushels as compared with the August USDA estimates of 41.4 and 3.056-B bushels.
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.