US soyabean futures on the Chicago Board of Trade closed mixed on Tuesday, with the old-crop months higher following the roaring Minneapolis wheat market, traders said. Everyone is just watching Minneapolis. When it breaks a little, all the markets dip.
Buspects that the rally in CBOT soyabeans since January 1 to a record high encouraged more spring US soya seedings. Spring wheat futures on the Minneapolis Grain Exchange notched an all-time high for any US wheat contract, with the March soaring the 30-cent limit to $13.27.
The wheat market remains supported by strong demand for high-protein wheat. However, the back months in Minneapolis ended weaker. CBOT soyameal followed the moves in soyabeans, with the nearbys gaining on the deferreds. The meal market closed $3 per ton higher to $3.30 per ton lower; March was up $3 at $339.60.
The soyaoil market was strong throughout the session, ending 0.77 to 0.95 cent per lb. March was up 0.87 cent at 53.42 cents. Commodity funds bought 3,000 soyabean contracts, 1,500 soyameal and 3,000 soyaoil.
South American crop weather was bearish, traders said. Argentina, the third-largest soya producer, benefited from heavier than expected rains in the past day, a DTN Meteorlogix forecaster said. Growing conditions were mostly favourable in Brazil, the world's top soya grower, but there were concerns about the northern crop region getting too much rain.
Those raised chances for the crop to develop the yield-cutting soya rust disease and potentially delay any harvest, traders said. Midwest spot basis bids were steady to firm on Tuesday, underpinned by quiet sales as farmers turned bullish after the CBOT nearby months rallied on Monday.