US MIDDAY: soyabeans and corn climb

09 Nov, 2016

US soyabean futures rose on Tuesday as fresh capital flowed into grain and oilseed markets a day ahead of a monthly government crop report and ahead of the results of the US presidential election, analysts said. Corn futures jumped 2 percent to a one-week high and wheat followed the firm trend. At the Chicago Board of Trade as of 12:18 p.m. CDT (1818 GMT), the January soyabean contract was up 16 cents at $10.14-1/2 a bushel after reaching $10.20-3/4, its highest since Oct. 28.
December corn was up 8-1/2 cents at $3.54-3/4 per bushel after reaching $3.56-1/2, its highest since Oct. 31, and December wheat was up 3-3/4 cents at $4.13-3/4 a bushel. Traders were also adjusting positions ahead of the US Department of Agriculture's monthly supply/demand reports on Wednesday. Analysts expect the government to raise its estimate of the record-large US soya harvest, but robust export demand has offset worries about the size of the crop.
Traders shrugged off news that China's soyabean imports for October were the lowest monthly purchases since February. China, the world's top soyabean buyer, imported 5.21 million tonnes of the oilseed in October, down 5.79 percent year-on-year, customs data showed. Soya and corn futures drew support from potential weather threats to South American crops as the Southern Hemisphere growing season gets under way. Wheat followed the firm trend. Funds hold a large net short position in CBOT wheat futures, leaving the market open to bouts of short-covering. Egypt's state grain buyer, the General Authority for Supply Commodities (GASC), bought 240,000 tonnes of Russian and Romanian wheat in a tender, bypassing one offer of US wheat, Cairo-based traders said.

Read Comments