Chicago Board of Trade soyabean futures fell early on Friday as renewed concerns about ample US soyabean stocks after this fall's near record harvest sparked technical selling by funds, traders said. January soya was down 7-3/4 cents at $5.71-1/2 per bushel by 10:50 am CST (1650 GMT). The deferreds were down 4-1/2 to 8 cents lower.
Man Financial and Calyon each sold 300-500 January, traders said. Also looming over prices were concerns that global feed demand may wane due to the spread of bird flu.
Vietnam said on Friday that bird flu had spread to three more northern provinces and China reported a fresh outbreak, following its confirmation this week of its first human death from the disease.
But US analysts said domestic use of soyabeans and soyameal may increase if US meat exports expand to meet world demand for food.
In Brazil, northern and central areas saw rains over the past day with temperatures near to above normal, improving conditions for the young soyabean crop. Central Brazil was forecast to see good rains through Monday. Southern Brazil was expected to be dry over the next two days. Drier weather is needed for fieldwork in southern Brazil.
The soya products followed soyabeans lower. December soyameal was down $2.20 at $172.60 per ton, with the deferreds $1.40 to $2.80 lower. December soyaoil was 0.21 cent weaker at 21.95 cents per lb, with deferreds 0.05 to 0.21 lower. Another round of CBOT soyameal cancellations offered some underpinning to the December contract.