The January 11 soy complex ended lower with soybean futures at the lowest levels since mid November on bearish USDA data. Speculative-led selling fueled the declines, with a smaller than expected cut in crop production by USDA weighing on prices. However, solid commercial buying beneath the market limited the market's downside potential. Longer term, the larger US supplies combined with South America's potentially huge crop could glut the market. If the South American crop potential is realized, new soybean price lows are likely.
Unfavorable weather can be the only factor to bring on a bullish market.