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Soyabean futures at the Chicago Board of Trade were choppy and mixed early Tuesday, turning lower after an early short-covering rally inspired by fears about soya rust spreading in the United States, traders said.
Both commodity funds and commercial hedge pressure pressed prices.
CBOT soyabean futures were 1-1/2 cents lower to up 1 cent per bushel by 10:50 am CST (1650 GMT). January soyabeans were up 1/4 cent at $5.36 - falling 4-1/2 cents after climbing 6-1/4 cents shortly after the open.
A university scientist said USDA tests confirmed that the initial US case of soya rust has spread in Louisiana but results from a Mississippi field tested for rust were not confirmed yet.
Worries about the spread of the yield-cutting disease on next year's US soyabean crop sparked fund short covering on Monday. Soya futures rallied 10 to 13 cents on Monday.
There was no soya posted Tuesday for delivery on the expired November contract. However, registrations of soya with the CBOT increased to 127 lots late Monday compared with the 119 lots late on Friday.
The soyameal futures market was also choppy and mixed, following the trend in soyabeans. CBOT meal was up 20 cents per ton to down 40 cents, with December steady at $153.70.
CBOT soyaoil futures were lower on profit-taking after Monday's rally when funds covered short positions. Soyaoil futures were down 0.02 to 0.21 cent per lb, with December down 0.21 at 21.30 cents.
CFTC data released late Monday showed that speculators increased their net shorts in CBOT soya complex positions for the week ended Tuesday, November 9.
In soyabeans, funds were long 31,465 lots, up 685, and short 91,675, up 9,470 from the week before. For soyameal, large speculators were long 9,025 contracts, up 20, and short 32,755, up 2,712 lots. In soyaoil futures, funds were long 22,479 futures, down 577 lots, and short 34,571, up 6,809.

Copyright Reuters, 2004

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