Chicago soyabean futures climbed on Tuesday alongside strong energy markets and news of export sales to China, although gains were limited by active US planting and concerns about demand for livestock feed amid the coronavirus pandemic.
CBOT July soyabean futures ended the day up 3 cents, settling at $8.39-1/2 per bushel.
Soyameal and soyaoil futures gained, with CBOT July soyameal ending up $1.00 at $289.40 per short ton and CBOT July soyaoil adding 0.16 cent to end at 26.31 cents per pound.
Equities and oil prices lifted as governments around the world tentatively loosen stay-at-home orders and traders anticipate increased fuel consumption.
In its weekly planting progress report Monday afternoon, the US Department of Agriculture (USDA) said US farmers had planted 23% of their intended soyabean acreage by Sunday, topping the average soyabean estimate in the Reuters poll of 21%. The USDA's figure was up from 8% a week ago and ahead of the five-year average of 11%.
A renewed tariff dispute between Washington and Beijing over the coronavirus outbreak fueled fears of a new trade war endangering meager soyabean and other US agriculture commodities to the top soyabean-importing country in the world, only months after the world's two largest economies signed a trade agreement.
Chinese buyers booked deals to purchase 378,000 tonnes of US soyabeans, the USDA said on Tuesday. Private exporters reported that 136,000 tonnes of soyabeans were for delivery in the 2019/2020 marketing year and 242,000 tonnes were for delivery in 2020/21.
Argentine biodiesel exports have ground to a complete halt due to the coronavirus pandemic hammering demand in Europe. The drop in fuel consumption there during the pandemic has paralyzed the Argentine biodiesel industry, which has generated up to around $1.7 billion in yearly revenue.
Global demand for palm oil, the world's most widely-used vegetable oil, may have bottomed out after being hammered by the coronavirus pandemic and is now set for a slow recovery, state agency and industry body the Malaysian Palm Oil Council (MPOC) said on Tuesday.
Tyson Foods Inc expects to continue idling meat plants and slowing production because of the new coronavirus, the company said on Monday, signaling more disruptions to the US food supply.
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