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Soyabean futures on the Chicago Board of Trade were up sharply on Wednesday following a fresh surge in crude oil markets while soyaoil soared to new contract highs and to near 33-year highs, traders said.
Traders said the soya complex rallied as crude oil abruptly surged following the release of a US government report showing a surprising drawdown of US crude oil stocks.
At 10:14 am CDT (1514 GMT), CBOT soya was up 4 to 16-3/4 cents per bushel, with November up 17-1/2 at $10.09-1/2 per bushel. Slow farmer selling and strong cash basis markets, especially at US Midwest River locations, also were supportive for soya, along with lighter-than-expected deliveries on the bellwether new-crop November contract.
Favourable soyabean growing weather continues in Brazil and in Argentina's soyabean growing areas, DTN Meteorlogix said on Wednesday. And mostly favourable weather was expected for the remaining harvest of corn and soya crops in the US Midwest, Meteorlogix said.
Soyameal was up $1.20 to $4.00 per ton, with December up $3.90 at $278.60 per ton. Soyameal followed soyabeans higher with the markets trailing the early strong rally in the crude oil market.
Soyaoil was up 0.55 to 0.78 cent per lb, with December up 0.74 at 42.42. December rallied to a new contract high of 42.46 cents per lb, which is also the highest price for a spot contract in nearly 33 years.

Copyright Reuters, 2007

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