Soybean futures are extending their gains to finish the trading week, topping $17 a bushel. The agricultural commodity has had a terrific 2022 and has become one of the top-performing commodities in the global financial markets today. But the latest gains can be attributed to China.
July soybean futures advanced $0.1225, or 0.72%, to $17.0275 per bushel at 16:03 GMT on Friday on the Chicago Board of Trade (CBoT). Soybean prices will post a weekly gain of about 3.5%, lifting their year-to-date rally to beyond 27%.
The crop found support on the US Department of Agriculture (USDA) reporting that there had been a considerable increase in sales over the last week, particularly from Beijing.
According to the USDA, soybean sales totaled 750,700 metric tons in the 2021-2022 marketing season and 149,500 tons for the 2022-2023 marketing year in the week ending May 12.
China accounted for more than half (392,600) of the 2021-2022 sales.
Meanwhile, China’s soybean imports from Brazil climbed month-over-month in April, receiving about 6.3 million tons from Brazil, according to the General Administration of Customs. This is up 120% from March, a time when terrible weather conditions impacted the South American country’s harvest and exports.
Beijing also imported 1.64 million tons of soybeans from the US in April. This is down from the 3.37 million tons the country received from the United States.
By comparison, in the first four months of 2022, China’s soybean imports totaled 12.7 million tons from Brazil and 15 million tons from the US.
In other agricultural commodities, July corn futures shed $0.05, or 0.64%, to $7.7825 per bushel. July wheat futures plummeted $0.20, or 1.67% to $11.805 a bushel. July coffee futures declined $0.0205, or 0.94%, to $2.1665 per pound.