Soybeans

- What is meant by the term soybean complex?

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A - The term refers to the soybean, its two principal by-products: soybean oil and meal, and their special interrelationship throughout the production, processing, and marketing processes.

Soybean oil remains the most widely used edible oil in the United States, with consumption exceeding that of all other fats and oils combined. It is a major ingredient in cooking oil, margarine, mayonnaise, salad dressing, and shortening. Lecithin is a natural emulsifier derived from soybean oil and, without it; chocolate would separate from cocoa butter and spoil many sweet moments.

Soybean meal is the dominant protein supplement used in U.S. livestock and poultry feeds. Soy products are also used to make baby food, diet-food products, beer and ale, and noodles. Technical uses include adhesives, cleansing materials, polyesters, and other textiles.

Soybean futures, soyoil futures, and soybean futures markets supply the mechanism for long-term business planning, which can lead to operational profitability for farmers, processors, livestock producers, and food manufacturers.
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Soybean Oil (CBOT) (07) - Margins Init/maintanance
Speculative - Old Crop $2,025 $1,500
Hedge/Member - Old Crop $1,500 $1,500
Speculative - New Crop $2,025 $1,500
Hedge/Member - New Crop $1,500 $1,500


ALL future contract specifications
http://futures.tradingcharts.com/specs/summary.html


Soybean Oil Futures contract specification

Trading Hours
Electronic: 6:00 p.m. - 6:00 a.m. and 9:30 a.m. - 1:15 p.m. Central Time, Sun.-Fri.
Open Auction: 9:30 a.m. - 1:15 p.m. Central Time, Mon-Fri.

Ticker Symbols
Open Auction: BO
Electronic: ZL

Daily Price Limit
2.5 cents per pound ($1,500/contract) above or below the previous day's settlement price. No limit in the spot month (limits are lifted beginning on First Position Day).


Contract Size
60,000 lbs

Tick Size
1/100 cent ($0.0001)/lb ($6/contract)

Price Quote: Cents/lb

Contract Months
Oct, Dec, Jan, Mar, May, Jul, Aug, Sep

Last Trading Day
The business day prior to the 15th calendar day of the contract month.
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Trading example: If you were to purchase 1 contract of BO at 60.00, and the next day it moves to 60.50, you would have a profit of $300. Inversely, if it were to move to 59.50 you would have a loss of $300.
that is => 50 points x $6 = $300

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on 1/30/09 daily chart day change : at close up +.36 for day (36 x 6) that is $200/contract of $2000 margin that is 10% not bad if forecast is good 90%.
Open 32.28
High 32.86
Low 32.16
Close 32.73