Soyabean futures at the Chicago Board of Trade were weak early on Thursday in thin, choppy trade, traders said. Traders and analysts said soya remained under pressure from the record large global stockpile of vegetable oils, recent improved crop weather in the United States and the current harvest of a likely record large South American soyabean crop.
At 10:15 am CST (1615 GMT), CBOT soya was down 3/4 to 2-1/4 cents per bushel, with May down 2-1/4 at $5.82 per bushel.
Calyon Financial sold 200 May, FIMAT Futures bought 200 May and Citigroup bought 100 May. Soya analysts remained mindful that recent rains in the US Midwest have improved soil moisture reserves, buoying prospects for spring seedings and adding potential bushels to the 2006 US soyabean crop harvest this autumn.
There have been some slowdowns in Argentina's early soya harvest because of showers, but the rains will boost late soya pod-filling. Rains in Brazil were seen helping pod-filling of the later season soyabean crop.
No firm direction was coming from the export sector. USDA early Thursday reported export sales of US soya last week at 384,400 tonnes (old-crop/new-crop), within estimates for 300,000 to 500,000 tonnes.
Exports were quiet overnight and traders remain wary of the global spread of bird flu because of the potential to cut into demand for feed such as soyameal.
Short-term technical support in the May was at $5.72-1/2 per bushel and resistance was at $6.06-1/2. Soyameal was 40 cents per ton lower to 20 cents higher, with May down 20 at $174.80 per ton.
USDA said export sales of US soyameal last week were at 93,700 tonnes (old-crop/new-crop), within estimates for 50,000 to 125,000 tonnes. Soyaoil was 0.07 to 0.18 cent per lb lower, with May down 0.14 at 23.41 cents per lb. J.P. Morgan bought 200 May and R.J. O'Brien sold 200 May.
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