US soyabeans on the Chicago Board of Trade ended mostly firm on Wednesday after soaring to a three-month high amid technical strength and tightening domestic stocks, traders said. When May failed to penetrate $10.46-1/2 a bushel matching the January 12 high - technical selling surfaced and brought the market off its highs.
Market was due for a technical correction as spot prices had climbed more than $1.30 since March 30, the eve of USDA's planting intentions report. May closed 1 cent down at $10.35. New-crop November ended 3/4 cent up at $9.40, gaining on new-crop December corn which closed 9-1/2 lower at $4.15-1/4. May soyameal closed $1 per ton up at $317.30. May soyaoil ended steady at 36.95 cents per lb.
Funds bought 1,000 soyabean contacts, 500 soyameal and were even in soyaoil. Hot Chinese demand for soyabeans remains supportive. There was chatter among US cash traders that Brazil sold six cargoes of soyabeans four headed to China and two destined for Taiwan. Also talk that China may have booked US soya for October shipment.
No purchases were confirmed. But Brazilian FOB market was on fire, up about 7 cents for June-July shipment since earlier in the week. US stockpile is seen shrinking to a five-year low by the end of the season on August 31, reflecting export demand, USDA said. Spillover support from Dow industrials breaking through the 8,000 mark, ending up 109 points at 8,029.62.
Big jump in soyabean open interest after Tuesday's active trade. It grew by 14,375 contracts to 358,410. Open interest for soyabean calendar swaps unchanged at 45 on Tuesday. US Midwest basis bids for soyabeans softening amid steady farmer sales over the past week - dealers. US Midwest weather turning clearer, improving conditions for spring fieldwork and early corn planting - forecaster.
Malaysian palm oil futures mostly lower overnight after this week's climb on lower stocks. Drier weather in Argentina favours maturing crops and early harvest, and drier weather in northern Brazil seen improving conditions for remaining harvest. Egypt's Meditrade says bought 20,000 tonnes of soyaoil, 15,000 tonnes sunflower oil.
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