The US ran out of domestic soybean reserves and prices exploded in Chicago »Bichos de Campo

Soybean prices in the US futures market CME Group (Chicago) exploded today, Friday, in a context in which the US ran out of stock of the oilseed and there are more than two months to go until the entry of the new crop.

The 2021/22 soybean exportable supply from the US estimated by the USDA is 58.24 million tons, while, according to the latest official data available, exporters have already committed shipments for 58.45 million tons , that is, scheduled sales already exceed the USDA projection.

The next US soybean crop does not come until September. In this context, importers are turning to the remnant of US soybean meal which, at this rate, will also run out soon (even with new importers such as India).

All this happens with a final US soybean stock of just 6.3 million tons – always according to the USDA – which represents a minimum figure. And the news is that the US body does not anticipate that US soybean stocks can be rebuilt in 2022/23.

In this framework, the May 2022 Soybean contract of the CME Group ended today at 633.2 u$s/ton with a brutal intraday rise of 23.61 u$s/ton, while the July 2022 position ended at 605.0 u$s/ton with an increase of 11.9 u$s/ton. But the position corresponding to the new crop, September 2022, ended at US$563.3/tonne, up US$7.8/tonne.

Soybean meal on the CME also recorded significant increases: the July 2022 contract ended today at US$451.1/tonne with an intraday rise of US$15.6/tonne.

Bingo: The USDA report brought all bullish news for the agricultural market