FX.co ★ Soybean Futures Hit Highest Since July 2024

Soybean futures have climbed past $11.20 per bushel, reaching their highest point since July 2024. This increase comes as the market anticipates the USDA's forthcoming update on global supply and demand, the first in several weeks. The market's upward movement, however, has been somewhat tempered due to the absence of substantial purchasing activity from China. This is despite modest acquisitions of American agricultural products that followed last month's US-China meeting. According to the White House, Beijing committed to buying 12 million tons of these products by the year's end, but traders are still waiting for significant soybean transactions to materialize. Meanwhile, China's state-owned trading company COFCO has disclosed deals involving over $10 million in Brazilian soybeans and other agricultural commodities, without referencing any purchases from the United States. Looking forward to Friday's report, investors expect the US soybean yield to be reported as 53.1 bushels per acre, which is slightly less than the USDA’s September 12 estimate of 53.5 bushels per acre.