April has better soybean prices and boosts selling pace

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     Porto Alegre, May 2, 2022 – April was marked by higher prices and the recovery in the pace of soybean business in Brazil. The combination of appreciation of CBOT futures contracts with a rising dollar ensured the hike in domestic prices. Growers took advantage of the improvement in prices and resumed negotiations.

     In April, the 60-kg bag rose from BRL 189.00 to 199.00 in Passo Fundo (RS). In Cascavel (PR), it increased from BRL 180.00 to 190.00, and in Rondonópolis (MT), from BRL 167.00 to 180.00.

     At the Port of Paranaguá, the bag also rose, from BRL 186.00 to 197.00. Despite strong demand from China, premiums lost strength at the end of the month, reflecting stronger selling interest in the physical market.

     On the CBOT, the May contracts gained 5.56% in April, closing Friday (29) at USD 17.08 per bushel. The heated demand for the US product by the Chinese guaranteed the hike, besides the positive performance of other commodities.

     Concerns about the world economy – lockdowns in China, war in Ukraine, and increase in US interest rates – made the dollar rebound against the Brazilian currency. Internally, institutional threats also contributed to the 3.83% rise in the dollar, which closed at BRL 4.94 last Friday.

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