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Soybean meal prices show their strength

A market analyst says strong soybean meal prices continue to drive soybean prices.

Don Roose with U.S. Commodities tells Brownfield the world’s biggest supplier of soybean meal has tight supplies.

“Last year, Argentina had a drought so they have a deficit. That’s really given opportunity to the U.S. market and soybean meals are just off of their highs Friday.”

Soybean meal export sales were strong again in the last week and Roose says domestic soybean crush demand remains solid. He says that’s good news as U.S. soy crush expands.

“Where we’re going with the soybeans is similar to what happened with ethanol and corn,” says Roose. “Soybean meal and soil should find some strength from that and we’re looking forward to that new era.”

Roose says a combination of factors will drive soybean prices between now and the end of the year including export demand, South American weather and the final U.S. soybean production.