Soymeal stronger on weather woes: European feeds

ROTTERDAM: Soymeal on the European meals and feeds market continued to firm on the back of fears for lower South American soybean crops due to hot and dry weather in Brazil and Argentina, market sources said.

"The European market continued strong on the weather in South America and the dollar and profit taking on the CBOT did not spill over to the cash market. Business remained slack due to the end of the year lull," one broker said.

South American soymeal was offered between unchanged and three dollars a tonne up from Wednesday following last night's stronger CBOT soymeal futures. Afloat Argentine high protein soymeal changed hands at $364 a tonne cif Rotterdam from two vessels and Brazilian soymeal pellets traded at $362 a tonne cif Rotterdam for February delivery.

Most other products were quoted flat to a bit firmer following soymeal and a stronger dollar, which supported euro-priced products, but gains were limited by easier rapeseed futures. The few buyers active ahead of the New Year showed little interest and no trades were reported.

Copyright Reuters, 2011