CBOT soy ends down ahead of busy US harvest weekend

CHICAGO: Chicago Board of Trade soybean futures ended lower on Friday on expectations of active harvest progress in the US Midwest this weekend and investor caution after US President Trump tested positive for the novel coronavirus, unsettling global financial markets.

Forecasts called for mostly favorable Midwest harvest weather during the next two weeks.

CBOT November soybean futures settled down 2-3/4 cents at $10.20-3/4 per bushel.

For the week, the contract rose 18-1/4 cents a bushel or 1.8%, buoyed by smaller-than-expected Sept. 1 soybean and corn stocks figures reported by the US Department of Agriculture (USDA) on Wednesday.

CBOT December soymeal ended up $4 on Friday at $351.90 per short ton after setting a contract high at $354.10. Most soymeal futures hit contracts highs, buoyed by meal/oil spreading.

CBOT December soyoil ended down 0.76 cent at 31.66 cents per pound, pressured by declines in crude oil futures. Soyoil is the main US feedstock for biodiesel fuel.

The USDA confirmed private sales of 264,000 tonnes of US soybeans to China and another 252,000 tonnes to unknown destinations.

Private analytics firm IHS Markit on Friday cut its forecast of the average US 2020 soybean yield to 51.9 bushels per acre (bpa), down from its Sept. 4 figure of 52.1 but matching the USDA's September estimate.

A day earlier, US commodity brokerage StoneX lowered its US soybean yield estimate to 52.4 bpa, from 52.9 a month earlier.

Argentina's main farm association said government measures to temporarily cut export taxes on grains and soy were inadequate. The country's center-left government said on Thursday it would cut the export levy on soybeans by 3 percentage points to 30%.