CFTC COT Report: Soybean: CBOT: Long positions in new crop seen

Mumbai (Commoditiescontrol): Commitment of Traders Report – 6 February 2016

Commitment of Traders Report was released yesterday 5 February 2016. Positions reported are as on 2 February 2016

Soybean – CBOT

(Futures starting September and before represents the old crop. Subsequent futures represent the new crop)

COT report showed that open interest increased for the week ending 2 February 2016. Greater increase was seen in futures starting from October 2015. Positions were added in both long and short positions but the market is net long.

Hedgers were net short and additions to short positions were greater than addition to long positions.

Swap Dealers on the other hand were net long in futures starting in September and before and they were seen adding to their long positions as well as reducing their short positions. They were however net short in futures starting post September 2015. They added both to their long and short positions but addition of short positions was far higher than their long positions.

Managed Money was net short in the market. However, addition to long positions was far greater than addition to short positions. In the futures post September 2015 they were seen adding to long positions and reducing short positions.

Other reportable positions were net short and had larger interest in trading the spread in the market. Addition to short position was larger than addition to long positions. They were long in futures starting in September 2015 and before and short in the subsequent futures.

Non- Reportable positions were also net short but were seen adding to long positions at a greater pace than short positions.

4 or less large traders had larger long positions than short and concentration of positions was greater in futures started after September 2015.



Outlook

The difference between total long and total short positions is just 1.36 percent as swap dealers have almost negligible short positions. However concentration of short positions in the old crop indicated by futures started September 2015 and before while subsequent futures are seeing buying interest. Thus near term prices, till the old crop is there, can fall beyond that we should see prices increasing.

(By Commoditiescontrol Bureau; +91-22-40015523)