Chicago soybean futures hit their highest since mid-2024

Traders reported that spot prices for soybeans shipped by barge to terminals in the US Gulf of Mexico fell on Thursday amid uncertainty about demand from China.

The seasonal decline in demand for US soybean exports was driven by cheaper supplies of freshly harvested soybeans from Brazil.

Traders are looking for potential opportunities to sell American goods to China ahead of the summit between US President Donald Trump and Chinese President Xi Jinping scheduled for this month.

Brazilian trade groups Abiove and Anec said they are “concerned” and closely monitoring the latest developments related to soybean exports to China after Cargill announced Wednesday it was suspending shipments to the Asian country due to changes in Brazil’s inspection procedures.

According to the U.S. Department of Agriculture, U.S. soybean export sales for the 2025/26 season totaled 456,700 metric tons for the week ending March 5, down 2% from the previous four-week average.

Season-to-date sales remain nearly 19% lower than a year earlier.

In March, barges carrying soybeans on a CIF Gulf basis traded 68 cents above May soybean futures (SK26) on the Chicago Mercantile Exchange. On Wednesday, they were 69 cents above futures.

In April, barges loaded with cargo were offering approximately 74 cents above futures rates, down about 3 cents.

In March, FOB Gulf soybean export premiums were approximately 115 cents above futures prices.

Spot corn and soybean rates in the US Midwest remained stable or mixed on Thursday after a wave of farmer selling fueled by high commodity prices eased.

At an investor event on Tuesday, Bunge Chief Operating Officer Julio Garros said the company is filling all of its grain storage facilities in the Americas due to increased farmer sales.

US soybean futures rose to their highest level since mid-2024 on Thursday, driven by speculative buying and fund investments amid a surge in oil prices following the Iranian attacks, which fueled fears of a protracted conflict in the Middle East.

Higher oil prices could support soybean production, as soybean oil is widely used to make biodiesel. Soybean processing margins also rose, thanks to stronger prices for soybean oil, a key feedstock for biodiesel production. Positive factors also included expectations that the US government will soon publish final rules on blending biofuels with other fuels. The proposed rules anticipate increased demand for soybean oil for the production of agricultural diesel.

Investors are adjusting their positions in hopes of a breakthrough in upcoming trade talks between the United States and China, the largest soybean importer.

The US Department of Agriculture reported that net export sales of US soybeans for the week ending March 5 totaled 466,258 metric tons, in line with analyst forecasts and the highest in three weeks.

On the Central Bank of England and Wales (CBOT), May soybean futures closed at $12.28-1/4 a bushel, up 13-1/4 cents after reaching a contract high of $12.38-3/4. This was the highest level for the most actively traded contract since May 28, 2024.

During the trading session, most soybean contracts reached new lifetime highs.

On the CBOT, May soybean oil futures rose 0.26 cents to close at 67.42 cents per pound.

On the CBOT, May soybean meal futures rose $4.80 to close at $320.20 per short ton.

Mar 26 Soybeans  closed at $12.13, up 12 1/2 cents,

Nearby Cash  was $11.52 1/4, up 13 1/4 cents,

May 26 Soybeans  closed at $12.27 1/4, up 13 1/4 cents,

Jul 26 Soybeans  closed at $12.40, up 12 3/4 cents

Tags: prices, soybean