Soybean Market in Chicago: Profit-Taking After Significant Rally

Tuesday morning (7th) sees profit-taking in soybean prices on the Chicago Board of Trade. Soybean futures, around 7:20 am (Brasília time), were down 5.75 to 6.75 points, with July quoted at US$12.42 and August at US$12.40 per bushel. The exception is May, which will soon leave the board, rising 0.50 points to US$12.35.

The market is giving back a small portion of the gains of over 30 points it saw in yesterday's session at the CBOT, reflecting concerns about soybean losses in Rio Grande do Sul due to floods, as well as strong rallies in meal, which have surged again amid concerns about, in addition to the weather in RS, strikes that may occur again in Argentina, reducing the supply of the derivative.

Additionally, prices are also retreating in the face of good progress in planting in the United States. The appropriate pace continues, however, the numbers brought by the USDA (United States Department of Agriculture) late yesterday afternoon indicated soybean planting at 25%, while the market expected 28%. Last week it was 18%, last year 30%, and the multi-year average 21%. The report also noted that 9% of soybean crops had already emerged, compared to 7% for the same period last year and a 4% average.

Attention is now focused on the weather conditions in the country and the scenario they will create for fieldwork to continue in the country.