Soybean prices close 21¢ lower

The USDA will release its Crop Progress Report Monday.

On Monday, the CME Group’s farm markets continue to fall.

At the close, the Dec. corn futures closed 5¼¢ lower at $5.21¾. March futures finished 4½¢ lower at $5.29½. May corn futures settled 3¾¢ lower at $5.34.

November soybean futures settled 21½¢ lower at $12.62.

Jan. soybean futures closed 21¾¢ lower at $12.71. March soybean futures finished 21¢ lower at $12.76.

Dec. wheat futures ended 8¢ lower at $7.00.

Dec. soymeal futures settled $2.40 per short ton lower at $339.80.

Dec. soy oil futures closed 1.39¢ lower at 54.87¢ per pound.

In the outside markets, the NYMEX crude oil market is $1.57 lower (-2.18%) at $70.40. The U.S. dollar is higher, and the Dow Jones Industrials are 941 points lower (-2.72%) at 33,643 points.

Bob Linneman, Kluis Advisors, says that the markets may see follow-through pressure from Friday.

“Outside market pressure on Friday could be to blame for some of the weakness seen in the grains. That same selling pressure seen Friday in the outside markets has continued to start this week. Traders are becoming more concerned with another potential round of closures due to COVID and what that could mean for the U.S. economy. The Federal Reserve meeting this week makes things more volatile, since traders await their comments about the current economic conditions,” Linneman stated in a note to customers.

Linneman added, “As of the Friday Commitments of Traders report, funds were holding over 212,000 long positions in corn and over 55,000 long in soybeans. With harvest getting underway in the U.S., it would make sense to see the funds move to reduce these long positions ahead of harvest selling pressure by farmers.”

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Tags: soybean prices, USDA