Market News
Soybean supplies keep gettingtighter
USDA's projecting very tight ending stocks for soybeans and analyst Don Roose believes that means it may be time to start rationing. Roose says thatwith old crop carryout projected at 130 million bushels at the end of the marketing year, there's not much room for error.
“That is down to a pipeline minimum, if you will, because some of those supplies are going to be dislocated,” said Roose, in an interviewwith Brownfield, following the report’s release.
Roose adds that the market will continue to watch the record export pace for soybeans, especially for purchases from China, which has purchased about 60% of the cumulative total for the marketing year to date. The 2008/09marketing year for soybeans ends August 31.
Don Roose is the president of U.S. Commodities in West Des Moines.
Add Comment