Soya sharply down on weather, cash market

17 Jul, 2004

Soyabean futures at the Chicago Board of Trade fell hard on Thursday with new-crop November ending nearly 23 cents lower in reaction to less threatening weather forecasts and a collapse in US cash markets at interior locations, traders said.
CBOT soya futures through August 2005 were 29-3/4 to 10 cents per bushel lower. August was down 29-3/4 at $7.51, while November ended 22-3/4 lower at $6.45-1/2 after closing 27 cents higher on Wednesday.
The August-November soya and August-December meal spreads weakened - a change from their recent trend and a bearish technical sign, traders said. The bearish inputs sparked funds to sell 2,500 to 3,000 soya futures, traders said.
USDA's weekly export tally offered no support. The government said on Thursday last week's US soya export sales totalled 7,900 tonnes (old and new crop combined), compared with estimates for nil to 50,000 tonnes.
Redeliveries on the July contract Thursday were at 222 lots. The Term Commodities house account stopped 22 lots, a Man Financial customer stopped 92 and an FC Stone customer took 65 lots. Registrations were unchanged at 223 lots.
Soyameal futures closed $14.70 to $2.50 per ton lower on a setback from Wednesday's rally and spillover selling from soyabeans. August ended $14.70 down at $254.30.
USDA early Thursday said US export sales of soyameal last week (old and new crop combined) totalled 20,000 tonnes, below the range of estimates for 25,000 tonnes to 50,000 tonnes.
Deliveries on the expired July contract were at 67 lots, but there was a strong stopper in the Cargill Investor Services house account taking 50 lots.
Soyaoil futures were mostly lower following soyabeans and a bearish export number, traders said. But weakness was limited as the spot market has fallen more than 2.5 cents since early July, attracting some commercial pricing, traders said.
The oil market closed steady to 0.35 cent lower, with August steady at 26.43 cents. Commercials were buyers, including Produce Grain with 300 August, traders said.
Estimated soyabean volume was 60,702 futures and 23,778 options. In soyameal, an estimated 28,293 futures and 8,420 options traded. Soyaoil trade was pegged at 19,218 futures and 1,139 options.

Read Comments