Soybean prices react to USDA report

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Soybean prices react to USDA report

Price expectations rose in the USDA’s latest supply and demand estimates.

Mac Marshall, vice president of market intelligence with the United Soybean Board and US Soybean Export Council says the USDA’s estimated price for soybeans is the highest it’s been since 2014.

“Expected marketing year average price for soybeans up from $9.80 a bushel to $10.40 a bushel,” he says. “So, it’s really been a bullish report on the US balance sheet side with the tightening inventories.”

Soybean prices responded with a more than 30 cent rally Tuesday.  

Marshall says farmers should be able to take advantage of the higher prices.

“We’re in that peak selling season immediately post-harvest when exports are running at their fastest pace and domestic crush is up,” he says. “It’s a prime opportunity for farmers to take advantage of these high prices and see some returns that haven’t bene felt in a couple of years.”

The estimated price for corn rose from $3.60 per bushel to $4 per bushel, the highest price from corn since 2013.