Soyabean futures at the Chicago Board of Trade rose early Wednesday on worries that soya yields were being hurt in the southern US Midwest by hot, dry conditions. November soyabeans were up 13 cents per bushel at $8.75-3/4 by 9:35 am CDT.
Soyabean futures were called to open 3 to 5 cents per bushel higher Wednesday on follow-through strength from Tuesday, traders said. The market was supported by worries that hot, dry weather in the central and southern US Midwest was shrinking soyabean yields. Farmers were hoping for optimum yields this year given the low acreage.
Short covering was also expected ahead of the USDA August crop report on Friday. This will be the government's first estimate of 2007 soyabean production based on field surveys.
Analysts' estimates of what USDA will forecast ranged from 40.3 to 43.0 bushels per acre, compared with the government's July estimate of 41.5 bpa. The products were seen following soyabeans on the open. The overnight e-cbot trend for soyabeans was up 3/4 to 5-1/2 cents per bushel, soyameal was unchanged to up $1.80 per ton and soyaoil was up 0.13 cent per lb to down 0.12 cent.
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