Analysts to stay ‘neutral to bearish’ on soybean markets going into 2022

 Analysts to stay ‘neutral to bearish’ on soybean markets going into 2022

There are preliminary estimates of a large Brazilian crop and increased US plantings, with much of the conversation around soybeans continuing to focus on the impact that higher fertilizer prices will have on global farmers planting intentions for soybeans. Soybean cultivation requires fewer inputs than the more fertilizer intensive corn.

“US farmers are currently making planting decisions for the spring and it is expected that a shift to soybeans could be seen, particularly if fertilizer prices remain high, which for ammonium and nitrogen remains likely. High gas prices are expected to be a feature of this market as the cold winter months take effect and demand increases.”

Looking to South America, conditions in Brazil remain constructive for plantings with 78% of the area planted versus an average of 67%, noted the UK-based analysts.

“Although weather conditions have so far been good, La Niña still remains a potential risk…

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