Soybean prices had a mixed behavior in a confusing week of the Brazilian market

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     Porto Alegre, November 29, 2021 – With the holiday in the United States last Thursday, turnover was limited and prices fluctuated in a mixed way in the Brazilian soybean market over the week. Early last week, sales had a more consistent pace, with growers taking advantage of a high to return to the market and cash in before the harvest of the new crop. Subsequently, growers held back, and business stalled, mainly due to the US Thanksgiving holiday, which ended up removing the main reference for price formation. On Friday (26), when trading in Chicago resumed, world markets felt a strong negative influence derived from the uncertainties that the new variant of COVID-19 is beginning to bring. Therefore, stock exchanges around the world ended the day with sharp losses, which were also extended to the commodities market.

     A 60-kilogram bag was pegged at BRL 167.00 on Friday (26), unchanged from the previous Friday, in Passo Fundo (RS). In Cascavel (PR), prices dropped from BRL 164.50 to 162.50 in the period, and in Rondonópolis (MT), from BRL 159.00 to 152.00.

     In Paranaguá, prices fell from BRL 169.50 to 168.50. Export premiums were slightly lower. The Chicago high ensured better prices early last week, but without Thursday’s session along with Friday’s losses, prices retreated at the close of the week.

      On the CBOT, contracts maturing in January fell 0.83%, closing at USD 12.52 a bushel on Friday.

     The dollar lost 0.27% over the week, closing Friday at BRL 5.595. Nevertheless, on Friday morning, the currency came to operate with strong appreciation due to the concern with the new variant of COVID-19.

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