Soybeans slip from 6-1/2-year high as labour strike ends

SHANGHAI: Chicago soybean prices on Wednesday slid from a 6-1/2-year high hit in the previous session, as Argentine soy crushers signed a deal with oilseed workers to end a strike that had been pushing up prices.

The most-active soybean contract on the Chicago Board of Trade (CBOT) slid 0.2% to $12.93-3/4 a bushel at around 0400 GMT. The market had reached $12.99-1/2 a bushel on Tuesday, its highest since June 2014.

Wheat was down 0.3% at $6.16-3/4 a bushel. Corn snapped a 12-day winning streak, slipping 0.1% to $4.65-3/4 a bushel. It had risen to $4.67-1/4 a bushel on Tuesday, highest since June 2014.

Argentina's soy crushing companies signed a contract with the country's oilseed workers' unions late on Tuesday, ending a 20-day strike over wages that had paralyzed exports from the world's top supplier of soymeal livestock feed.

The deal, following a more than 10-hour negotiation session, includes a two-part 25% increase in salaries from January to August. Increases for the rest of the year are to be determined by the inflation rate, Argentina's CIARA soy crushing chamber said in a statement.

The labour strike by the oilseed workers and grain inspectors had earlier idled Argentina's ports, backing up more than 140 export ships.

Commodity funds were net buyers of Chicago Board of Trade corn, wheat, soybean, soymeal and soyoil futures contracts on Tuesday, traders said.

European wheat rose on Tuesday, supported by Algeria's tender believed to be sourced in Europe and a rebound on US markets, according to traders.

Jordan's state grain buyer is believed to have made no purchase in an international tender for 120,000 tonnes of animal feed barley which closed on Tuesday, European traders said. A new tender is expected in the coming days to close on Jan. 5, seeking shipment in June and July 2021.