Death comes to us all. Life's but a walking shadow | I don't have any additional information about China cancelling South American soybeans but I just looked at liveships and there are at least 20 bulk carriers docked or just off shore along the Coast between Paranga and San Paulo, Brazil. These ships weren't there just a few days ago. I don't have any real information but this suggests that export of the Brazilian soybean crop is just now getting underway.
I suspect that it isn't just coincidence that the futures price declined just now. Meanwhile our export inspections were over 1.0 mmt last week & this cuts our own outstanding soybean sales to about 6 mmt. This is right in line with USDA's current projections. Last year Brazil exported just under 43 mmt and if we get all our remaining outstanding sales shipped we will move another 42 mmt. This suggests to me that as long as demand stays decent we can expect to sell beans in that $11-13 range and $11 is way more than the $4-5 we used to get.
For what it's worth. |
Note to White Shadow about China Cancellations
