Soy reached a price of US$ 501 per ton in the market of Chicago
Argentina, March 15, 2012
Soy reached again record levels so far this year, reaching $ 484 per ton, while the most actively traded contract in the futures market of Chicago was agreed at $ 501 per ton.
The reason why it continues to increase in value is mainly related to two factors affecting the demand and supply respectively.
In principle, the major U.S. exports to China make the price of soybeans grow, but it also happens that “the areas cultivated with soybeans in the U.S. were reduced with the advance of corn,” as was stated by Commerzbank analysts.
However, the high demand for soybeans in the futures market expectations are due to the poor crop in South America. Due to the lack of rainfall in Latin America, the producers decided to have supplies of soybeans and buy the oilseed at a stable price, trying to anticipate a likely increase in coming months, due to a fall in supply.
In just two weeks, the soybean won more than US$ 30. It should be recalled that in December 2011, the oilseed hit its bottom, down to $ 404 per ton.