Can Soybean Prices Recover From Here?

By Staff of Seasonax

Seasons, Patterns & Cycles • Oct 16, 2023 at 10:10 AM EDT

There are some mixed messages for Soybean markets with a bumper crop from Brazil, but high temperatures over the US Summer have been impacting expectations for the US’s crop grade.

green-leafed plants

Photo by Meredith Petrick on Unsplash

There are some mixed messages for Soybean markets with a bumper crop from Brazil, but high temperatures over the US Summer have been impacting expectations for the US’s crop grade and concerns that China’s consumer habits may be changing too have weighed on sentiment. The negative drivers have meant that Soybean futures positions are in an extremely oversold position.

This means that any positive news for Soybeans could see a very sharp move high. Soybean seasonals however are strong from now until the end of the year.

On average soybean prices have gained 60% of the time for a 3.39% gain as the crop is harvested. Prices rise around this time for Soybeans particularly if there is a frost that would impact the harvest. So, watch for the soybean harvest news!

Major Trade Risks: The major trade risks here are if the negative outlook for the Soybean crop remains.

Video Length: 00:01:50

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