Chicago soya futures rebounded sharply in Asian trade on Monday, helped by friendly USDA monthly crop data, following a setback in Chicago on credit jitters. The nearby August contract had gained 11 cents to $8.61 a bushel, more than offsetting on Friday's 8 cent loss in Chicago on Wall Street worries linked to the US supreme mortgage sector.
The new crop November added 10-cents to $8.82. "The soyabean market has finally started to respond to supportive soya data as Asian financial markets managed to stabilise after last week's volatility," said a Seoul-based trader.
Asian stock markets staged a modest rally on Monday after central banks around the world helped ease fears of a global credit crisis by pumping money into banking systems.
On Friday, the USDA lowered its ending stocks estimate and left its 2007 US soyabean production estimate unchanged at 2.625 billion bushels, with a yield of 41.5 bushels per acre. Most traders were looking for an increase.
The government estimated US 2007/08 ending stocks at 220 million bushels, down from 245 million forecast in July. The drop reflected the USA's 25 million-bushel drop in its 2006/2007-soya ending stock figure. Corn and wheat futures on the CBOT also rose. September corn was up 3-? Cents at $3.36-? Per bushel and September wheat was trading at $6.71-3/4, up 4-? Cents.
Comments
Comments are closed.