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Soyabean futures on the Chicago Board of Trade hit highs late Friday on a pre-weekend bounce amid fears that more rain was headed for parts of the upper US Midwest, raising concerns about crop damage, traders said.
November soya was up 6 cents at $8.64-1/4 per bushel by 12:55 pm CDT. Earlier, soyabean futures were called to open 3 to 5 cents per bushel higher on follow-through technical buying as the market continues to correct from last week's sell-off, traders said.
The market remains underpinned by worries about a smaller US crop due to heat and dryness in the southern Midwest and flooded fields in the north after some areas have seen more than 10 inches of rain since the weekend. More rain was forecast for Friday, traders said.
Friday was the last trading day for September options, which could add to volatility, traders said. The products were also seen opening firm, taking their cue from soyabeans. Soyameal was called to open 50 cents to $1 per ton firmer and soyaoil up 0.05 to 0.10 cent per lb higher, traders said.

Copyright Reuters, 2007

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