The August soybean contract traded on Chicago Stock Exchange (CBOT) closed this Monday (6) with a significant increase of 47.75 points and 4.20%, quoted at US$ cents 1,184.00/bushel; the September contract rose 45.00 points and 3.96%, to US$ cents 1,181.00/bushel. Regarding derivatives, the oil and the bran Soybean prices rose 1.48% and 2.42%, respectively. In this trading session, the market reacted to increased concerns about the weather in the United States. Weather forecasts indicate above-average temperatures in the American Midwest next week, precisely when crops are entering crucial phases for determining their productive potential. In addition to the predicted heat, heavy rains during the Independence Day holiday (July 4th) caused flooding in agricultural areas of Iowa, Illinois, Wisconsin, and other producing states, increasing uncertainty about crop development. Outside the US, the heat wave affecting Europe also remains on investors' radar. In France, producers are already reporting losses in various agricultural crops due to high temperatures and lack of rain. Another factor supporting prices was the expectation of a resumption of Chinese purchases of US soybeans. The market continues to monitor potential deals following the meeting held in May between Presidents Donald Trump and Xi Jinping, which resulted in a commitment to expand agricultural trade between the two countries. Despite the absence of official announcements, speculation about new acquisitions by China continued to support prices. On the demand side, the U.S. Department of Agriculture (USDA) It was reported that weekly soybean shipments reached 528,000 tons in the week ending July 2nd. This volume fell within the market's projected range of 300,000 to 600,000 tons. Later, the USDA will release the weekly report on the conditions and development stages of North American crops.
This text was translated by machine from Brazilian Portuguese.