Fund buying and a supportive acreage report released on Friday boosted Chicago Board of Trade soyabean futures over 2 percent on Friday, traders said.
Also, concern about some forecasts for hotter and drier weather in the western Midwest and aggressive end-of-the-quarter buying by investment funds lifted soya futures to 2-week highs in fast trading.
Funds bought 10,000 lots of soya, traders said. CBOT soyabeans closed 7 to 13 cents per bushel higher, with July up 13 at $5.94-3/4 per bushel. New-crop November was up 13 at $6.22-1/2. The US Agriculture Department said on Friday in its June plantings report US soya acres this year totalled 74.9 million, below estimates for 75.1 million and below USA's March outlook for 76.9 million.
"The soyabean area was a little less than the trade was expecting and the stocks were a little less and that tells me that with the good exports we've been seeing they'll (USDA) have to go up on their export number," said Dale Gustafson, analyst for Citicorp.
USDA in its quarterly stock report said soya stocks on June 1 were at a record 990.14 million bushels, below an average of analysts' estimate for 1.016 billion. "The bean number was a larger drop than the average guess, but still within trade ranges," a trader said.
On Friday was first notice day for deliveries on the July contract and traders said the total amount of soya issued had little, if any, impact on the market. The CBOT said soya deliveries totalled 2,176 lots, which was within estimates for 500 to 3,000 a lot.
Export activity included news Taiwan passed on a tender to buy 30,000 to 60,000 tonnes of US or Brazilian soyabeans due to pricing concerns and the cash basis for soya in the Midwest was steady on Friday amid quiet farmer sales.
Soyameal was 20 cents to $4.70 per ton higher, with July up $2.20 at $174.60 per ton. Traders said soyameal was following soyabeans, but gains were limited by deliveries on the July contract. The CBOT reported soyameal deliveries on Friday at 711 lots, above estimates for 300 to 500 lots.
Soyaoil was 0.24 to 0.72 cent per lb. higher, with July up 0.72 at 26.36 cents per lb. New contract highs were set in some deferred months as soyaoil tracked the rally in soyabeans, gold and crude oil. Investors have been buying soyaoil as a hedge against rising energy prices, with soyaoil seen as a key player in the fledgling biodiesel industry.