After the strong lows last Friday (20), the week starts with good highs for the futures of the soybean complex traded on the Chicago Board of Trade. In the session this Monday (23), grain prices rose between 13.75 and 17.25 points in the main maturities, which had already recovered the level of US$ 13.00 per bushel. Around 7:30 am (Brasilia time), November had US$ 13.03 and May, US$ 13.17.
Among the prices of soy oil, which lost more than 5% in the last trading session, gains exceeded 2%. Reuters International, on Friday, brought news that the Environmental Protection Agency (EPA) would have signaled to the White House a reduction in mandatory biofuels in 2021. The information came within the period of the trading floor.
Subsequently, after the market closed, the news agency informed that the EPA was signaling an increase in mandatory prices for 2022, which is already on the traders’ radar this Monday, which has already helped to push the prices of the derivative on the CBOT .
Furthermore, the weather on the Corn Belt also remains under the attention of traders and the weekend of dry weather in the western part of the belt helps the rises observed today, as explained by the director of the Labhoro Group, Ginaldo Sousa.
“According to the European model, weather forecasts for the next ten days, valid until September 1, indicate rainfall well below normal for Ohio, Indiana and Missouri and below average for the rest of the productive areas, with the exception of Minnesota state that promises good rain,” he says.
At the other end, demand from China is also monitored. “Chinese demand, which was present every last week, with the exception of Friday, needs to come back more actively, as it has been absent for a long time in the last 60 days,” adds Sousa.
At the same time, the day is also more positive for the financial market, with less risk aversion at the beginning of the week due to the non-reporting of new Covid-19 cases by China and statements by Federal Reserve representatives about considering not withdrawing the stimulus the US economy in the face of the aggressiveness of the delta variant, especially in the US.
See how the market closed last week: