Moneycontrol
Jul 14, 2017 01:31 PM IST | Source: Moneycontrol.com

Soybean prices to trade sideways to down: Angel Commodities

According to Angel Commodities, Soybean futures are expected to trade sideways to down on expectation of revival of monsoon in central India. However, expectation of good crushing demand may keep the prices supportive.


Angel Commodities' report on Soybean


NCDEX  Soybean  August futures  slipped by about 2% on Thursday  as market participants have initiated fresh selling on hope that  monsoon rains will cover  soybean areas this weekends. The market arrivals have been diminishing and there is also good demand.  According to SOPA press release, India's exports of soymeal rose 56.1% on year to 64,000 tonnes in June.  As per  government data, a rea under  soybean crop across the country for  the 2017 - 18 kharif was  53.6 lakh hectares till last week,  up by  about 1 0 %  on year . Last year, the acreage was 48.6 lakh hectares. As per SOPA, as of June - end, soybean inventories with farmers were at 36 lakh tonnes, over three times the amount a year ago.  CBOT August soybean futures closed lower on Thursday despite good exports data and Chinese agreement to purchase US beans. USDA forecast, soybean production at 115.8 mt, up 0.1 million on increased harvested area. China's soybean imports dropped from the month before to 7.69 million tonnes in June, below market expectations due to plentiful stocks at crushers and a change in taxes.

Outlook
Soybean futures are expected to trade sideways to down on expectation of revival of monsoon in central India. However, expectation of good crushing demand may keep the prices supportive.

For all commodities report, click here


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