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Soyabean futures at the Chicago Board of Trade rallied sharply on Wednesday, with new contract highs set in several deferred contracts, as corn leaped to a fresh 10-year high, traders said.
At 10:03 am (1603 GMT), soya was up 4 to 12 cents per bushel, with November up 11-1/4 at $6.66 per bushel. Soyabeans have followed the moves in corn, trying to keep pace as the current price relationship entices farmers to plant a lot more corn next spring at the expense of fewer bean acres. The strength in November soya may be limited after another round of heavy deliveries, traders said. There were 1,352 November deliveries on Wednesday morning, which were met by scattered stoppers.
Positioning was likely before the US Agriculture Department releases its November crop report on Thursday. Analysts expect USDA to raise its US soya crop estimate to 3.237 billion bushels, up 48 million from its October forecast.
Meteorlogix weather service on Wednesday said damp weather was slowing harvest in portions of the eastern US Midwest. However, the corn and soya harvest is winding down in the western Midwest, leaving weather in the background as a market factor.
Soyameal was up 50 cents to $4.40 per ton, following the strong gains in corn and soya. December was up $3.50 per ton at $200.90 per ton.
Soyameal was boosted by the strong gains in soyabeans and corn. Soyaoil also was finding support from the gains in other markets and was up 0.16 to 0.23 cent per lb., with December up 0.21 at 27.88 cents per lb.

Copyright Reuters, 2006

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