Soyabean futures at the Chicago Board of Trade were lower early Wednesday as the market set back after Tuesday's fund-led rally to a four-month top, traders said.
January soyabeans were down 2-1/2 cents per bushel at $6.15 by 10:05 am CST (1605 GMT). March was 2-3/4 cents lower at $6.25-3/4, hitting resistance at $6.31. Rand Financial was among the early players, selling 300 March, traders said.
The nine-day relative strength index for the March contract was hovering at 67, just below the 70 level viewed as an overbought market.
Concerns about dryness in Argentina underpinned prices.
Argentine soyabean regions were forecast to be hot and dry this week, with highs climbing into the 90s degrees Fahrenheit and possibly some 100s F by the weekend, said Meteorlogix forecaster Joel Burgio. But Wednesday's computer weather models added more rain to the extended outlook for next week.
There was another round of large deliveries, 416 lots, against the January soyabean contract early Wednesday. An R.J. O'Brien customer issued 173 lots and a J.P. Morgan customer posted 165. Key stoppers included an Infinium customer taking 186 and a customer of Banc of America stopping 100 lots. CBOT soya registrations also increased to 1,908 lots late Tuesday from the previous 1,743.
The soya products were weaker after Tuesday's rally. Soyaoil climbed above its 200-day moving average on Tuesday when the market was fuelled by aggressive fund buying. January soyaoil was under added pressure early Wednesday after heavy commercial deliveries.
January soyaoil was down 0.14 cent per lb at 22.82 cents and March was 0.07 lower at 23.17 cents. There were heavy January soyaoil deliveries of 1,266 lots. The ADM house account issued 1,049 lots after it was the key stopper on Tuesday. An Iowa Grain customer took 861 lots and a Henning customer stopped 359 lots. CBOT soyaoil registrations were unchanged at 5,211 lots late Tuesday.