Domestic soybean meal prices are expected to rise in the short term, pay attention to the USDA supply and demand monthly report

Jinshi Futures reported on April 9th that analysis by Guantong Futures pointed out that the shortage of raw materials has eased, and in mid to late April, there will be a concentration of soybeans in Hong Kong or an increase in oil factory supply. In terms of demand, under the implementation of production capacity regulation policies and the anchoring of far-month prices for live pigs, the fattening, weight gain, and secondary fattening of piglets have rebounded. With the increase in piglet prices, the number of breeding and elimination will be significantly reduced. It is expected that the demand for breeding in the second quarter will be relatively stable. The bearish sentiment on the raw material side has weakened, and USDA has a more comprehensive basis for adjusting the production of Brazilian soybeans, which is favorable for the US soybean market and domestic soybean meal. Before the supply and demand report was released, market differences were limited. Supported by domestic demand, domestic soybean meal prices are expected to rise in the short term. Short term range fluctuations tend to be bullish, and positions can be reduced at high levels.