SHARP DROP IN OPEN INTEREST FOR MEAL AND OIL; LONG LIQUIDATION

Like corn and other commodities, the soybean market remains under pressure from deteriorating demand views. Macroeconomic conditions are deteriorating with softer data and rising interest rates, which has deflated inflation interest in some commodities. However, the downside breakout yesterday in November soybeans was partially the result of ideas that the late corn plantings could cause growers to shift to planting more soybeans. One analyst predicted U.S. corn plantings to be the slowest in 25 years. As of Sunday, 8% of the U.S. soybean crop had been planted, up from 3% the previous week but below the five-year average at 13%. Another negative is the potential for further declines in soybean oil following news of a possible loosening of export restrictions in Southeast Asia. more […]