US soybean futures on the Chicago Board of Trade surged on Wednesday in line with the rebound in crude oil and concerns about trade in one of the world's leading soy exporters after Argentine farmers resumed their strike, traders said. July soybeans ended 25 cents higher at $13.72-3/4 per bushel.
New York crude oil closed more than $2 a barrel higher, above $131 on worries about a threat to Nigerian production. July/November soybean spread remains volatile given the turmoil in Argentine trade. July gained 9 cents on November, which ended up 16 cents at $3.57-1/4.
Argentine farmers are withholding crops for export until June 2 - their most recent move in a series of protests over the government's soy export tax which began more than two months ago. The protest paralysed trade at the Argentine main grains exchange in Rosario.
As many as 15 cargoes of soybeans were expected to be shipped from the US Pacific Northwest in the coming weeks that normally would have shipped from Argentina due to the unrest there, traders said. Argentina is also the world's top soymeal and soyoil exporter.
July soymeal ended $8.70 per ton higher at $343.70. July soyoil closed 0.45 cent up at 62.65 cents. Commodity funds bought 3,000 soybean contracts, 3,000 soymeal and 2,000 soyoil. Commercials sold about 1,500 soyoil contracts. US soybean planting and emergence remain behind due to the cool, wet weather. More rains were expected to move through the Midwest over the next week, slowing planters but temperatures will turn warm by the weekend, a DTN Meteorlogix forecaster said.
USDA late Tuesday said the US soybean crop was 52 percent planted, above trade expectations for 45 to 50 percent but behind the five-year average of 67 percent. USDA said 12 percent of the soy crop had emerged, lagging the five-year average of 34 percent.
China's State Council rejected a proposal to reduce import duties on palm oil and soyoil, as part of efforts to fight inflation, traders said. Malaysian palm oil futures fell nearly 4 percent, following weaker crude oil prices.
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