Economic Value Up Date for Cash Soybean Meal – 9/23/2020

The faltering soybean oil market has forced soybean meal to assume a larger share of the crush margin. We have forecast the October/May meal price range based 0n the prospective soybean carryout and crop year  2020/21 U.S. soybean meal exports. The USDA September estimates  suggest a cash meal market high near $400/ton.  

The market will switch focus over the next few months to the austral summer weather and the prospective Brazil – Argentina – Paraguay soybean crops. Smaller than expected Southern Hemisphere crops would be reflected in a tighter U.S. soybean supply/usage balance and higher price forecasts for the soybean complex.