Soybeans Extend Decline Near 5-Week Low
Key Takeaways
- •Soybean futures fell to around $11.5 per bushel and approached a five-week low.
- •Weaker crude oil prices pressured the vegetable oil market after reports of a possible US-Iran deal.
- •StoneX forecast the 2026 US soybean harvest at 4.47 billion bushels, reinforcing expectations of ample supply.
- •The USDA confirmed a private sale of 132,000 metric tons of US soybeans to China for delivery in the 2026/27 marketing year.
- •Traders continued to monitor Black Sea export risks, but expectations of another large harvest in the region weighed on prices.
Soybean futures fell further to around $11.5 per bushel, moving toward a five-week low as weaker crude oil prices weighed on the vegetable oil market.
Oil prices dropped sharply after reports of a potential US-Iran deal that could reopen the Strait of Hormuz.
Agricultural commodity prices often track energy markets because crop-based feedstocks are increasingly used in biofuel production, so shifts in crude can feed through to soy complex pricing even when crop-specific headlines are limited.
Additional pressure came from expectations of ample global supplies, with brokerage StoneX forecasting the 2026 US soybean harvest at 4.47 billion bushels.
While the US Department of Agriculture recently confirmed a private sale of 132,000 metric tons of US soybeans to China for delivery in the 2026/27 marketing year, the purchase did little to offset the bearish supply outlook.
Traders also continued to monitor developments in the Black Sea region, where the ongoing Russia-Ukraine war threatened grain export routes. Even so, expectations for another large harvest from the region continued to weigh on prices.
Source: Trading Economics