Newsletter summary
CBOT soybean and soybean meal futures rose supported by short covering and demand, while corn was flat and wheat fluctuated. Soybean meal hit a new high, while corn rose by 2.Videohowtoplaypoker.7%, wheat fell slightly. The US bean market will be closed for a long weekend or affect trading. The yield of wheat in Russia has been reduced, the situation of wheat in France has declined, and sowing in the United States has been postponed.
Text of news flash
[soybean futures market is boosted by soybean meal prices] Chicago Board of Trade (CBOT)VideohowtoplaypokerSoybean futures closed higher on Friday, thanks to the positive impact of rising prices in the soybean meal market. At the same time, the upcoming long weekend in the United States has also contributedVideohowtoplaypokerShort covering activities supported a further rise in soybean futures prices.
Soybean meal futures also performed well, with prices generally rising in the US spot market, reflecting the continued stable demand for soybean meal and the current situation of tight supply.
By contrast, the soybean oil futures market performed differently on Friday, with the price of soybean oil futures falling in July.
In the corn futures market, although the overall performance has leveled off this week, traders are still closely monitoring the progress of corn cultivation in the United States, especially as rain-induced planting delays have become the focus of market attention.
The wheat futures market has been relatively stable this week, and although the closing price on Friday remained basically unchanged, concerns about crop damage in major wheat exporters such as Russia, the world's largest wheat exporter, are rising. Drought and frost in its crop-growing areas have seriously affected yields, attracting the attention of market analysts. In addition, as wheat prices rise, it is predicted that global livestock producers may be more likely to use corn as feed rather than wheat.
The details of the closing are as follows:
Soybean futures (CBOT): July soybean futures SN24, up 8% at the closeVideohowtoplaypoker.75 cents to $12.48 a bushel, up about 1.6% this week.
Soybean meal futures (CBOT): July soybean meal futures SMN24, rose 9.80 U.S. dollars to close at 386.50 U.S. dollars per short ton, a two-week high.
Soybean oil futures (CBOT): July soybean oil futures BON24 closed down 24 cents at 44.95 cents per pound.
Corn futures (CBOT): July corn contract CN24, up 75 cents to $4.6475 a bushel, up about 2.7% this week.
Wheat futures (CBOT): July wheat futures WN24 closed down 75 cents at $6.9725 a bushel.
Changes in CBOT positions suggest that on Friday, commodity funds increased their speculative net long positions in CBOT corn, Mai Mai, American beans and American soybean meal, while long open positions in American soybean oil were balanced with open short positions.
Spot prices of US soybean meal generally rose at export terminals along the Gulf Coast, mainly due to strong demand and tight supply. Analysts also pointed out that the covering of short positions in the United States long before the weekend also boosted the soybean futures market. It is worth noting, however, that the CBOT market will be closed next Monday on Memorial Day, which may have some impact on market trading.
For the wheat market, analysts cut their forecasts for Russian wheat production, citing the double whammy of drought and frost in the region's crop-growing areas. Terry Riley, senior agricultural strategist at Marex, pointed out that as the upward momentum in wheat prices weakens, the market may have absorbed most of the losses in Russian crop production, while the weakening global demand for wheat is likely to dampen further price increases.
In Europe, a report released by FranceAgriMer, the French Ministry of Agriculture, shows that the situation of soft wheat in France has declined slightly, to its lowest level in four years. The German Association of Agricultural Cooperatives predicts that German wheat production is expected to fall 5.6% to 20.31 million tons this year.
The planting progress of corn and soybeans in the United States has also attracted widespread attention because of delays caused by rain, and the USDA plans to release a weekly sowing progress update on Tuesday, a day later than usual. Brokerage StoneX said there was speculation about the progress of US crops due to short-term rainfall forecasts and long-term drought forecasts. In addition, traders adjusted their positions before the long weekend. TommPfitzenmaier, an analyst at SummitCommodityBrokerage, believes that unless there are major weather problems in the United States, corn prices will not rise significantly.
