Soyabean settled down -0.41% at 3682 tracking weakness in spot demand amid due to expectations of higher global supplies due to crop-friendly weather condition across the US Midwest. Pressure also seen as monsoon has reached many soybean growing areas which may give way to sowing in a few days. Soymeal exports fell 99% in June to 2,636 tons on weak global demand, the Solvent Extractors Association reported over the weekend. Soybean acreage rose 11% to 84.1 million acres, which is 7.4 million acres more than a year ago data from USDA showed.

Soybean stockpiles in United States were better than expected at 405 million bushels compared to forecast of 387 million bushels, USDA data showed. Chinese imports of soybeans rose 7.0 percent in June from May as Chinese crushers keep robust imports from South America, despite negative crushing margins. According to Ministry of Agriculture soybean planting as on now is reported at 101,000 ha compared to 177,000 ha last year. The Ministry of Agriculture in its 3nd Advance Estimates, projected 2013-14 soybean output at 11.9 mn tn as against 14.67 mn tn in 2012-13.

Soy meal exports in May ’14 have declined to 8,226 tn, down 91.47% y-o-y from 96,492 tn on poor demand and lower availability for crushing due to higher Indian quotes for foreign buyers. At the Indore spot market in top producer MP, soybean dropped -21 rupee to 4004 rupee per 100 kgs. Technically market is under fresh selling as market has witnessed gain in open interest by 6.27% to settled at 77980 while prices down -15 rupee, now Soyabean is getting support at 3657 and below same could see a test of 3620 level, And resistance is now likely to be seen at 3726, a move above could see prices testing 3758.

Trading Ideas:

Soyabean trading range for the day is 3615-3753.

Soyabean prices dropped tracking weakness in spot demand amid due to expectations of higher global supplies.

Pressure also seen as monsoon has reached many soybean growing areas which may give way to sowing in a few days.

Soybean stockpiles in United States were better than expected at 405 million bushels compared to forecast of 387 million bushels, USDA data showed.

At the Indore spot market in top producer MP, soybean dropped -21 rupee to 4004 rupee per 100 kgs.