China delivered soybean prices to hit two-month low, despite rising freight

Soybean prices delivered into China look to be near two-month lows on Friday as a fall in futures and static flat price basis bids have offset a rise in freight, according to data collected by Census.

On Friday, the USDA reported private export sales of 257,000 mt of soybean into China in what has been a relatively busy day for exporters.

The report came a day after brokers reported three cargoes had been bought for China and were heard headed from the Pacific Northwest - one for January and two for February loading - with another heard from the US Gulf for January loading.

Prices for soybean loading FOB from the Pacific Northwest (PNW) pegged by brokers at 70 cents over March for January loading and 72 cents over March futures for February.

And with futures at around $9.80/bu and freight at $24/mt that equated to a landed price of around $410/mt.

In terms of the US Gulf, pricing was talked at 43 cents over January futures for January loading on Thursday and using futures at $9.68/bu for January and freight of $43/mt it gives a landed price of $414/mt.

At $410/mt CFR China, it represents the lowest level since October 9, according to Census data.