Soybean futures have extended their lows today to prices not seen since October as signs of rapid soybean planting progress is taking place across the Midwest last week. Soybean futures are down .04 cents today currently trading near $9.42 per bushel at the Chicago Board of Trade.
The USDA has reported nearly 45% of the domestic crop being planted as of this past weekend, which is up a whopping 31% from the week prior. At this same time last year, coincidently nearly 31% was planted. The five-year average is “36%” so you can see we’re well above this too.
“Being well ahead in planting with favorable weather is what the soybean traders are most likely seeing,” said Devin Brady, President of Progressive Trading Group in Sherman Oaks, CA, regarding the fundamental assessment of the soybean futures market. Brady added, “Add these circumstances with plentiful stocks and it will take much export demand to turn the soybean (futures) market around.”
Soybean futures trend has resumed down after much sideways trading for the better part of the past two-and-a-half months. I will need some type of pull-back higher before I can enter the short side of this market…
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