Soybeans Hits 8-week High

Soybean futures held above $12 per bushel, moving close to a two-year high reached on March 12, after the USDA projected tighter-than-expected US supplies for the 2026/27 marketing year, reinforcing expectations of strong biofuel-driven demand. The agency forecast soybean ending stocks at 310 million bushels, down from 340 million in 2025/26 and below expectations for an increase, while also trimming old-crop inventories. USDA also projected average soybean prices at $11.40 per bushel next season, nearly 10% above this year’s level, offering relief to US farmers hit by years of weak crop prices, excess grain supplies, trade disruptions, and elevated input costs. Soybean futures have already rallied 17% so far this year, raising hopes that farm-level cash prices could move closer to break-even levels. Additional support came from strong domestic crushing demand tied to expanding biofuel blending mandates and concerns over global oil supply disruptions linked to the Iran conflict.

Soybeans increased to 1211.00 USd/Bu, the highest since March 2026. Over the past 4 weeks, Soybeans gained 3.79%, and in the last 12 months, it increased 12.48%.

Soybean futures rose above $12 per bushel, moving back toward multi-week highs as biofuel-related demand strengthened amid rising global energy prices. The US Environmental Protection Agency finalized record Renewable Fuel Standard mandates for 2026–2027, lifting required biofuel blending volumes and boosting demand for soybean oil used in biodiesel production. This comes as higher oil prices, driven by escalating Middle East tensions and supply risks around the Strait of Hormuz, boosted the competitiveness of biofuels. Meanwhile, Brazil, the world’s largest producer of soybeans, shipped a record 16.75 million metric tons in April, up 9.7% from a year ago and surpassing the previous high set in April 2021. The country’s 2025/26 soybean crop is also projected to reach a record near 180 million tons. Elsewhere, trade developments are in focus as US President Trump and Chinese counterpart Xi Jinping are set to meet this week, with agricultural products among the key topics in discussions.