Know Why Soybean Futures Surged Back to $16.5

soybean futures

Chicago soybean futures: Soya Oil rose again to $16.5 a bushel, remaining close to levels not seen since September 2012 amid ongoing supply disruptions as heavy fighting continues in Ukraine, threatening exports from the Black Sea region.

Ukraine is a major global supplier of corn and sunflower oil and any disruption to the production is set to put additional pressure on other grains and vegetable oils.

Adding to the bullish tone, Argentina and Brazil have been facing abnormally dry conditions linked to the La Niña pattern, hitting the quality and quantity of crops.

Elsewhere, the USDA said exporters reported the sale of 136,000 tonnes of US soybeans to China for delivery in the 2022/23 marketing year and 120,000 tonnes for delivery to unknown destinations during 2021/22.