Market move
Soybean futures on the Chicago Board of Trade eased on Monday, falling in the range of 31 to 34 cents per bushel as traders locked in gains and oil markets weakened. The pullback came after a session on Friday that pushed soybeans to their strongest levels in more than two years.
Energy link
Oil prices declined sharply, falling 7%, after reports that the U.S. and Iran paused strikes over the weekend following two weeks of attacks. The drop in crude coincided with the step-back in soybean prices, with traders citing the weaker energy complex as a factor reducing upward pressure on agricultural commodities.
Export demand
U.S. export interest for soybeans remained in evidence despite the price pullback. The U.S. Department of Agriculture's daily reporting system showed that exporters sold 132,000 metric tons of U.S. soybeans to China and an additional 126,000 metric tons to unknown destinations. Those reported sales indicate ongoing overseas demand even as futures retraced from recent highs.
Price detail
CBOT November soybean futures were last reported down 33-1/4 cents at $12.20-1/4 per bushel. The decline represents a correction from the multi-year high reached at the end of last week as market participants realized profits.
Takeaway
The session combined profit-taking in the soybean complex with a sizable move lower in crude oil, which together helped push may commodity futures lower after a run-up to a two-year peak. At the same time, reported export sales by U.S. exporters demonstrate continued global demand for U.S. soybeans.