Reduced overseas demand dragged down soybean futures on Thursday as the legume fell to its lowest value in roughly 21 days, according to Bloomberg.
For week ended November 1, soybean sales fell 75 percent from one week prior in the U.S., the globe's biggest exporter of the commodity, according to the U.S. Department of Agriculture. Soybean futures fell to their lowest value since the middle of October, during which the commodity lost 3.3 percent of their value as a result of rains paring down yield reductions after the worst drought in more than 50 years this past summer in the U.S.
"U.S. exports are slowing," senior market advisor Jacquie Voeks with Stewart Peterson Group in Wisconsin told the news source. "The economic environment in not conducive for grain market investors."
At 12:35 p.m. on Thursday, soybean futures fell 0.65 percent, a 0.0975-cent loss to $14.9725 per bushel.
Reuters reports soybean export sales fell to their lowest in 16 months, according to economic data provided by the U.S. Department of Agriculture.
Risk Disclosure
This material is conveyed as a solicitation for entering into a derivatives transaction.
This material has been prepared by a Daniels Trading broker who provides research market commentary and trade recommendations as part of his or her solicitation for accounts and solicitation for trades; however, Daniels Trading does not maintain a research department as defined in CFTC Rule 1.71. Daniels Trading, its principals, brokers and employees may trade in derivatives for their own accounts or for the accounts of others. Due to various factors (such as risk tolerance, margin requirements, trading objectives, short term vs. long term strategies, technical vs. fundamental market analysis, and other factors) such trading may result in the initiation or liquidation of positions that are different from or contrary to the opinions and recommendations contained therein.
Past performance is not necessarily indicative of future performance. The risk of loss in trading futures contracts or commodity options can be substantial, and therefore investors should understand the risks involved in taking leveraged positions and must assume responsibility for the risks associated with such investments and for their results.
Trade recommendations and profit/loss calculations may not include commissions and fees. Please consult your broker for details based on your trading arrangement and commission setup.
You should carefully consider whether such trading is suitable for you in light of your circumstances and financial resources. You should read the "risk disclosure" webpage accessed at www.DanielsTrading.com at the bottom of the homepage. Daniels Trading is not affiliated with nor does it endorse any third-party trading system, newsletter or other similar service. Daniels Trading does not guarantee or verify any performance claims made by such systems or service.