August soybeans finished up $0.53 1/2 at $15.83, $0.02 1/2 off the high and $0.38 1/2 up from the low. November soybeans closed up $0.51 3/4 at $15.26 1/2. This was $0.33 1/2 up from the low and $0.02 1/2 off the high.
November soybeans gapped higher at the opening bell and seemed to gain in strength through the day to finally close near the highs of the session. The July contract gained on the August and November contracts after no deliveries were made. Soybean meal and oil both traded sharply higher into the closing bell.
Continued concern over decreasing new crop soybean yields due to blistering temperatures this week supported the soybean market to new highs on the day. The forecast calls for cooler temperatures next week and a chance for better rainfall in some areas, but confidence in those forecasts remain low. Afternoon weather maps call for a little warmer 1- to 5-day forecast for the northern U.S. and extreme heat is expected to stick around for another 3 to 4 days in central and southern Midwest. Changes also include a chance for better rainfall in the Midwest and western U.S. plains in the 6- to 10-day map.
Brazil's government announced that their 2011/2012 soybean crop would amount to 66.37 million tons, which is unchanged from their last estimate. Outside markets offered minimal resistance to soybeans, as the U.S. dollar surged over 1% on the day and stocks were marginally lower. Traders continue to anticipate demand shifting to the U.S. market following one of the worst Brazilian droughts in years.