Soybean Export Sales Strong

recently, the Chicago Board of Trade (CBOT) soybean futures market rose because of stronger export sales, but rainfall in parts of the Midwest constrained the rise in soybean prices., soybean futures rose 0.50 cents to 3.75 cents, of which the 9-month period closed up about 3.75 cents to 1335.75 cents/bushel; the 11-month period closed up about 2.75 cents to 1328.50 cents/bushel; the 1-month period closed up about 2.50 cents to close at 1333 cents/bushel. The most actively traded 11-month period has a trading range of about 1315 cents to 1339.50 cents.

According to the weekly export sales report released by the U.S. Department of Agriculture, in the week ended July 29, 2021, the U.S. 2020/21 soybean net sales volume was 11,400 tons, significantly lower than last week and 33% lower than the four-week average. The net sales volume in 2021/22 was 424,800 tons. The data beat market expectations. US Department of Agriculture announced that US private exporters sold 300,000 tons of soybeans to unknown destinations for delivery in 2021/22. But the delta virus is spreading in some of the world's largest economies, constraining demand prospects. Sporadic rainfall in the Midwest of the United States has also restricted the increase in bean prices, but the weather in the western planting belt is still dry.

last week, the spot basis price of soybeans at a terminal in the Illinois River rose 73 cents, while the price of a processing plant in Illinois fell 10 cents. Soybean spot base spreads in most of the rest of the Midwest fell slightly. IHS Markit, a consultancy, expects U.S. soybean production to reach 4.464 billion bushels in 2021, with an average yield of 51.5 bushels per acre. In contrast, the U.S. Department of Agriculture recently estimated soybean production to be 4.4 billion bushels, with an average yield of 50.8 bushels.