US soyabean futures up on short-covering

US soyabean futures rose on Friday, extending gains on short-covering due to dry weather in key crop areas of South America that could lower production and boost demand for supplies from the United States. US corn and wheat futures were little changed with concerns about poor demand for US supplies and abundant world stocks weighing on sentiment.
CBOT March wheat was flat in early trade to $5.79-1/2 per bushel. March corn was also steady at $5.78-3/4. January soyabeans were trading up 0.3 percent at $11.15. The Canadian Parliament gave final approval on Thursday to a government bill to end the Canadian Wheat Board's 68-year-old grain marketing monopoly, but legal challenges threaten to leave farmers and the grain industry in limbo into the New Year.
US grain suppliers are likely to start winning tenders to sell wheat to Egypt in February, when Russian wheat loses its competitive edge and Argentina retreats from the market, an official with a US industry group said on Thursday. The euro held above an 11-month low against the dollar but fell against the yen, with investors mindful of the euro zone debt crisis and a likely recession in the region looking to sell on any upticks.
A record domestic harvest and easing food inflation show little sign that China, the world's second-largest corn consumer, will resume imports from global markets until maybe the second half of next year, analysts said. USDA said export sales of corn last week totalled 505,900 tonnes, within estimates for 400,000 to 600,000 tonnes.
Commodity Weather Group citing slightly wetter weather in the six- to 10 day forecast for south America but said central Argentina could come up short. Far southern Brazil is expected to be drier this week with slight relief at the end of the 10-day period. Rain and snow in the US Plains early next week and more rain seen for the US Midwest. The precipitation is buoying prospects for the 2012 wheat, corn and soyabean crops.
South Korea bought 30,000 tonnes of US corn for March delivery via private talks earlier this week. USDA reported export sales of US soyabeans in the latest week at 468,600 tonnes, within trade estimates for 400,000 to 600,000 tonnes. Commodity Weather Group citing slightly wetter weather in the six- to 10-day forecast for South America but said central Argentina could come up short. Far southern Brazil is expected to be drier this week with slight relief at the end of the 10-day period. Malaysian crude palm oil futures hit a six-week low, with a global commodities sell-off stretching from the previous day over concerns the European debt crisis was spiralling out of control.