US soyabean ended higher on Thursday, climbing to session highs late as crude oil futures staged a rebound from a sharp sell-off on Wednesday, traders said. A weaker dollar added to buying momentum in soya and in crude oil, the traders said. Volume was estimated at 128,993 contracts, according to Reuters data, up 1.4 percent from Wednesday's total.
Soyabeans had opened lower, along with corn and wheat, on follow through from Wednesday's sell-off on the USDA's bearish US grain stocks and production estimates. The soya complex also was pressured by news that China increased its bank reserve requirements by another 50 basis points to as part of an effort to cap its inflation rate. Talk that China was interested in buying old- or new-crop US corn helped temper those concerns.
In addition, two South Korean feed makers purchased about 269,000 tonnes of optional-origin corn on Thursday for arrival in August after prices fell to near six-week lows, US traders said. Basis bids for corn and soyabeans were steady to firm in the US Midwest on Thursday as country offerings remained scarce, with farmers focused on planting crops. Wet weather in the eastern US Midwest continues to slow or even stall crop seedings where areas of flooding occur. There are outlooks for drier weather next week but the forecast is uncertain. Better crop seeding prospects in the western US Midwest.