Soyabean futures at the Chicago Board of Trade were weak early on Wednesday, keeping in a 4-to-5 cent lower range, on follow-through technical selling amid rising US soyabean stocks due to sluggish exports, traders said.
Also bearish was an early drop in New York metals and energy markets. With the increase in speculative money from index funds flowing into commodity markets, commodities tend to move together.
The Goldman Sachs Commodity Index fell about 10 percent in February and the Dow Jones AIG Index was off about 6.6 percent.
March soya was down 4 cents at $5.74 per bushel and May was 4 lower at $5.86 by 11:50 am CDT (1750 GMT).
US soya exports continue to lag a year ago as China has been sourcing a large portion of its soyabeans from South America. CBOT soya registrations increased to 3,838 lots from the previous 3,700.
The soya products were lower on technical selling. Soyaoil lost ground to soyameal as the oil/meal spread continued to correct after last week's rally in soyaoil to highs not seen since October 2005.
Early sell-stops in soyameal triggered selling in soyabeans, traders said. March soyameal were down 90 cents at $171.60 per ton, May was off 80 at $173.50.
March soyaoil was 0.32 weaker at 23.63 cents per lb and May was down 0.27 at 24.04 cents.
In the futures delivery market, there were no soyameal postings but there were 386 March soyaoil deliveries. Customers of Dowd and Man were the key stoppers. Meal registrations with the CBOT were unchanged at 34 lots. CBOT soyaoil registrations increased to 6,413 lots late Tuesday from the previous 6,343.
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