Soybeans edge higher on strong Chinese demand

CANBERRA: US soybean futures edged higher for a fourth consecutive session on Monday, as strong demand from China underpinned prices.

Corn edged lower amid a broad commodity sell-off, while wheat rose due to concerns about global supplies.

The most active soybean futures on the Chicago Board Of Trade were down 0.2% at $13.39 a bushel by 0451 GMT, having firmed 0.6% on Friday.

"Global demand, particularly from China, is the primary driver of prices," said Phin Ziebell, agribusiness economist, National Australia Bank.

CBOT soyabean futures at 6-1/2-year highs

Exporters last week reported a sale of 131,000 tonnes of soybeans to China, marking the second consecutive daily soybean sales notice, though weekly sales have been lighter than what is needed to meet US Department of Agriculture (USDA) export targets.

The recent uptick in sales to China comes after Beijing's soybean imports fell in July from the same period the previous year, customs data showed on Saturday, as poor crushing margins weighed on demand.

Analysts also noted ongoing adverse weather in South America as supporting prices.

The most active corn futures were down 0.2% at $5.55-1/4 a bushel, having gained 0.6% in the previous session.

Corn was underpinned by dwindling prospects for the second crop in Brazil.

The most active wheat futures were up 0.2% at $7.20-1/4 bushel, having closed up 0.9% on Friday.

US and Canadian farmers anticipate sharply smaller spring wheat harvests from drought, while analysts have reduced Russian harvest estimates on disappointing yields and reduced planted areas.

Ukrainian farms have harvested 32.2 million tonnes of grain from 46% of its sowing area, with the yield averaging 4.35 tonnes per hectare, the agriculture ministry said last week.