Soyabeans end mostly up

The Chicago Board of Trade soyabean futures market ended mostly firm on Friday, consolidating after falling to a two-month low this week, traders said.
"The market is grinding lower trying to find out where the bids are and occasionally have a little bounce in light volume," said one CBOT trader. "Fundamentals remain negative technically we definitely did some damage this week," he added.
May soya closed 1/4 cent higher at $5.76-1/2 per bushel but 13 cents below last on Friday's close. The back months settled mostly firmer, up 2-1/2 to down 1 cent. The market was technically weak after this week's sell-off trading below all key-moving averages.
The nine-day relative strength index for the May contract slipped this week, closing at 34 on Friday, nearing the 30 level that indicates a technically oversold market. The fundamental outlook remains bearish.
Recent rains across the Midwest were replenishing soil moisture before the planting season begins, improving crop prospects. Also, US farmers are expected to plant more soyabeans and less corn than a year ago as beans are cheaper to plant than corn.
Export demand remains dismal. South American soyabeans are more attractively priced than WE soyabeans, with more Argentina and Brazilian supplies moving into marketing channels are as harvest is underway in parts of both countries.
Additionally, global demand concerns persist as bird flu spreads across Europe, Asia, the Middle East and Africa. US cash markets were weak at the Gulf due to slow export demand, dealers said. The soya products were mixed, with soyameal gaining on soyaoil in thin trade.
Large speculators hold a large net long position in soyaoil but are short soyameal, leading to some market correction on Friday, traders said. But the fundamental picture remains bleak for both. The South American harvest will add to soyameal supplies, and US soyaoil stocks are at burdensome levels.
May soyameal closed 70 cents higher at $173.80 per ton, with deferreds were up 80 cents to $1.20.
May soyaoil was down 0.19 cent per lb at 23.24 cents, with deferreds 0.20 to 0.25 cent lower.
Commodity funds were even in soyabean futures, bought 1,000 soyameal contracts and sold 1,000 soyaoil, traders said. Malaysian palm oil futures closed mostly weak overnight, influenced by pre-weekend profit taking.