Tuesday was another day of great volatility in the Brazilian soybean market. The best offers were recorded in the morning, when Chicago and the dollar rose. Good prices gave producers a chance.
There was limited trading due to the market reversal. Trading companies reduced their offers and business stalled. Prices went from stable to lower.
In Passo Fundo (RS), a 60-kilo bag fell from R$122.00 to R$119.00. In the Missões region, the price decreased from R$ 121.00 to R$ 118.50 per bag. At the Port of Rio Grande, the price went from R$128.00 to R$126.00 per bag.
In Cascavel, Paraná, the bag depreciated from R$ 118.00 to R$ 116.00. At the port of Paranaguá (PR), the price decreased from R$ 126.00 to R$ 124.00.
In Rondonópolis (MT), the bag remained at R$ 113.00. In Dourados (MS), the price stabilized at R$ 111.00 per bag. In Rio Verde (GO), the bag fell from R$ 111.00 to R$ 110.00.
Soy in Chicago
Soybean futures contracts traded on the Chicago Commodity Exchange (CBOT) closed Tuesday with lower prices. The day was full of volatility, but at the end of the session the negative impact of the fundamental scenario on prices predominated.
The initial sign is that American producers will grow more soybeans and less corn, indicating an increase in American supply. This feeling has added pressure on prices since the release of planting intention figures from the United States Department of Agriculture (USDA) on Thursday the 28th.
The market has already been retreating due to the arrival of the South American harvest – of good size – and the shift in Chinese demand.
Soybean grain contracts for delivery in May closed down 11.75 cents, or 0.99%, at US$11.74 per bushel. The July position was quoted at US$ 11.87 3/4 per bushel, with a loss of 11.75 cents or 0.97%.
In by-products, the May bran position closed down US$5.10 or 1.52% at US$328.30 per ton. In oil, contracts expiring in May closed at 48.60 cents on the dollar, an increase of 0.36 cents or 0.74%.
Exchange
The commercial dollar ended the session stable, trading at R$5.0591 for sale and R$5.0571 for purchase. During the day, the North American currency fluctuated between a minimum of R$5.0215 and a maximum of R$5.0626.
