CHICAGO: Chicago Board of Trade (CBOT) soyabean futures surged to fresh four-year highs on Tuesday after the US Department of Agriculture (USDA) in a monthly report cut its estimate of the US soyabean harvest and raised its estimates of demand more than analysts had expected.
Contract highs were set across the board in CBOT soyabean and soyameal futures.
CBOT benchmark January soyabeans settled up 35-1/2 cents at $11.46 per bushel after reaching $11.53-1/4, a contract top and the highest price on a continuous chart of the most-active soyabean contract since July 2016.
CBOT December soyameal ended up $10.70 at $394.80 per short ton and December soyaoil rose 0.58 cent to settle at 36.06 cents per pound.
Soya and grain futures surged after the USDA lowered its estimate of the US 2020/21 soyabean yield to 50.7 bushels per acre, below the lowest in a range of trade expectations.
The USDA projected that US soyabean stockpiles would dwindle to 190 million bushels by the end of the 2020/21 marketing year, which would be the smallest ending stocks since 2013/14, if realized.
The USDA lowered its forecast of Argentina’s 2020/21 soyabean crop to 51 million tonnes, from 53.5 million last month, but left its estimate of Brazil’s crop unchanged at 133 million tonnes.
Earlier on Tuesday, Brazilian crop supply agency Conab raised its forecast of the country’s soyabean harvest to 134.953 million tonnes, from 133.673 million in October.
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