The director of producer brokerage for CHS Hedging anticipates a bullish USDA supply and demand report Tuesday.

Kent Beadle tells Brownfield a combination of strong Chinese demand, South American production concerns, and a potentially smaller domestic crop should draw the U.S. carryout down to around 200 million bushels.

“And honestly, if you start to get underneath 200 million, relative to the size of the demand base, you’re talking about a stocks-to-use ratio that we haven’t had for a very long time.”

He says that would support $11 soybean futures, and potentially $12 to $15 soybeans.

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