The US soybean crush hit an all-time high January volumes and second-highest monthly level ever on robust domestic demand, coupled with tight supplies from South America, market sources told S&P Global Platts Feb. 17.
Record January crushing volumes are expected to put further pressure on the ending stocks, which are forecast at a 7-year low of 120 million bushels for 2020-21 marketing year (September–August), and thus support US soybean futures prices, analysts said.
Chicago Board of Trade’s March soybean futures were trading at $13.8688/bu at 0348 GMT Feb. 17, up 14 cents day on day.
The National Oilseed Processors Association, or NOPA, reported Feb. 16 that the January crush stood at 184.654 million bushels, up 4% year on year, beating the analysts’ average estimates of 183.087 million bu.
US soybean oil stocks were also reported at an eight-month high of 1.799 billion lb, up 100 million lb from the end of December, NOPA said. The average analysts’ estimate was at 1.763 billion lb.
The demand for soybean meal has been boosted by US meat processing industry, which uses it as an animal feed. The soybean oil demand as a feedstock has also seen a pickup due to rising biodiesel purchases.
Domestic demand for US soybean meal and oil is rising rapidly on thriving meat exports and stable crude oil usages, the US Department of Agriculture said…
