Porto Alegre, August 28, 2023 – The Brazilian soybean market showed stable to firmer prices last week. The movement was moderate, with growers maintaining a cautious posture and taking advantage of price rallies to negotiate. On the one hand, the good performance of futures contracts on the CBOT. On the other, the dollar’s decline.
The 60-kilogram bag remained at BRL 152.00 last week in Passo Fundo (RS). In Cascavel (PR), prices rose from BRL 141.00 to 142.00. In Rondonópolis (MT), they remained at BRL 128.00.
In ports, premiums remain negative for shipments a little further away and swing in line with the growers’ trading interest. A 60-kg bag in Paranaguá rose from BRL 151.00 to 152.00 in the physical market in the period.
On the Chicago Board of Trade (CBOT), contracts expiring in November accumulated a strong rise of 3.84% last week, closing at USD 14.05 a bushel last Friday. Concern over the US weather, with the forecast of little rain and high temperatures, and the good demand for US soybeans supported prices. In addition, the market gained even more strength after Pro Farmer surprised in its production estimate for the US crop related to the results of the crop tour. According to the entity, US production should be at 111.86 mln tons, well below market expectations and the USDA estimate of 114.44 mln tons.
The dollar devalued against the real last week, limiting the positive impact of Chicago on domestic prices. The US currency fell 1.86%, quoted at BRL 4.8747.
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