US soyabeans higher

01 Apr, 2010

US soyabean futures closed higher on Tuesday and nearby May led the way up on shrinking US soya supplies and concern about labour unrest in Argentina. CBOT May up 6-1/2 cents at $9.74 per bushel. Funds even. May-November widened 5-1/2 cents and May/November closed at 42-1/2 cents, premium May. Argentine strike keeps CBOT soyabean, soyameal spreads on the boil.
Brazil's Agroconsult revises 2009/10 soya crop estimate to 68 million tonnes after crop tour versus 65.1 million tonnes previously. Drier weather in Brazil's Parana and Mato Grosso to boost soya harvest; no concerns seen in Argentine weather patterns over the next week. Oil World hikes forecast of Argentine soyabean crop to 53.3 million tonnes.
US cash soya basis firm early Tuesday amid slow farmer selling. US FOB Gulf basis steady for soya late Monday with traders closely monitoring a spreading strike at major Argentine grain ports. Resistance for May at 200-day moving average $9.77, support at 10-day ma $9.61. The session low was $9.60-1/4. Nine-day RSI 61.
CBOT May soyameal up $6.20 at $283.10 per ton. Turned higher as soyabeans rally. Bull-spreading remains a feature, with nearby contracts gaining on deferreds. Meal-oil spreading also adds support. Argentine strike threatens Asian soyameal supplies. CBOT May soyaoil down 0.60 cent at 38.67 cents per lb. Pressured by talk that China may take steps to restrict imports on soyaoil. Meal-oil spreading weighs on soyaoil and lifts soyameal.

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