Guoxin Futures: Capital exits the market, and the nearby soybean meal surges significantly

On Thursday, soybean meal prices surged significantly, with the main futures contract testing the 2800 yuan/ton level. Pre-holiday short covering further pushed prices higher. Internationally, CBOT soybean futures rose sharply, supported by heavy rains in Brazil’s soybean-producing regions and ongoing drought in Argentina, which boosted U.S. soybeans. The lead soybean meal futures also led gains, providing support for U.S. soybeans. The main futures contract stabilized above 1100 cents per bushel. South American soybean weather premium speculation has begun to heat up. Domestically, according to Grain & Oil Business Network, the import crushing spot trade price for Rizhao Bangji 43 protein soybean meal is 3060 yuan/ton, up 10 yuan/ton. Oil mills are gradually shutting down, and traders are waiting to execute contracts after the holiday, resulting in light market activity. Pre-holiday margin calls and capital flight from the futures exchanges caused soybean meal futures to reduce positions and rise. Although soybean meal remained relatively strong before the holiday, increased uncertainty during the holiday period suggests it is advisable to clear positions before the festival and engage in short-term trading. (Guoxin Futures)