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According to information released by TF Agroeconomic, strong demand keeps soybean prices high on the international market. “In origin, the Brazilian base fell on the day with the recovery of the real, gaining 1.4% against the US dollar at the time of printing, and high volumes of grains were offered”, comments the consultancy.
“The market has been active in recent days, with farmers being heard selling large volumes of grain, mainly for delivery in 2021, to generate cash flows supported by high CBOT prices. Premiums in the Paranaguá paper market fell with June shipments valued at 25 c/bu less compared to the July future, 10 c/bu lower on the day, equivalent to $/t”, he adds.
A trade was heard for May 2022 at 15 c/bu on May futures, with no volumes disclosed. “In Argentina's FOB market, premiums fell sharply, as June offers were heard at 35 c/bu less than July futures, 25 c/bu lower on the day,” he indicates.
“CBOT soybean futures traded in a wide range on Wednesday and were slightly higher at press time, supported by firmer soybean oil futures. Rigid market fundamentals continue to support prices, while profit-taking and position squaring, especially in the front-month contract, were pulling in both directions. The July contract was trading 0.2% higher at US close, at $ 15.40/bu, while the September position was 1% higher, at $ 14.13/bu,” he concludes.
By: Leonardo Gottems | agrolink
