Soybean futures rebound ahead of USDA stocks report
SOYB•Chicago soybean futures rose 9-1/2 cents to $12.97-3/4 per bushel on Tuesday, rebounding from a four-week low as traders awaited Wednesday’s USDA stocks report and monitored rain-delayed harvesting.
1. Prices rebound
The most active Chicago Board of Trade soybean contract closed up 9-1/2 cents at $12.97-3/4 per bushel, after falling Monday to its lowest level since August 31. Traders said bargain buyers emerged after the decline, while market participants adjusted positions before month- and quarter-end.
2. Harvest and stocks
Rain was expected to slow harvesting in parts of the Midwest over the next week, and analysts said wet conditions could risk crop damage from sprouting. As of Sunday, farmers had harvested 17% of the soybean crop and 18% of the corn crop, matching five-year averages but below analysts’ expectations of 20% for each. A Reuters poll showed analysts expected USDA’s Wednesday report to put corn inventories at 1.918 billion bushels on September 1, up from 1.551 billion a year earlier.
