Soybean Futures Rise Amid Strong Export Sales Report

Soybean futures are experiencing a positive uptick, reflecting strong export sales. Recent USDA reports indicate robust old crop sales and slightly increased production expectations for 2025/26, which could support prices in the near term.

Date: 23-05-2025

AI Rating: 7

**Soybean Futures Surge Following Favorable Export Sales**

Soybean futures have demonstrated a notable increase, with prices rising between 3 to 6 cents as of Thursday's midday. This rise is largely attributed to the USDA's latest Export Sales report, revealing substantial old crop soybean sales that exceeded market expectations.

The report registered old crop soybean sales of 307,939 metric tons (MT) for the week, significantly exceeding trade estimates that ranged from 100,000 to 300,000 MT. This reflects a solid 9% increase from the previous week and a 10.2% rise compared to the same period last year. Key international interest came from Mexico, which accounted for 134,100 MT of sales. This robust performance in export sales could lead to increased investor confidence and a positive outlook for soybean stock prices in the near term.

Soymeal sales, likewise, totaled 382,652 MT, aligning with expectations in a range of 100,000 to 450,000 MT, while bean oil sales reached 13,660 MT, comfortably falling within the anticipated range. This overall stability in sales figures suggests a healthy demand environment.

Moreover, the International Grains Council's report indicated steady global soybean production at 428 MT, with an increase in consumption and a slight reduction in world stocks projected for 2025/26. This information reinforces a bullish sentiment among traders and investors, suggesting that supply and demand dynamics may favor higher prices moving forward.

Given these developments, the market's positive reception of the USDA's export data may generate further upward momentum for soybean futures, positively influencing investor strategies in the commodity sector. The expected growing consumption and slightly adjusted supply forecasts could support continued price appreciation in the upcoming months.

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