MUMBAI: US soybean futures were trading near their highest levels in three months on Friday following a rally in vegetable oil prices and as the latest weather forecasts for key northern growing areas turned wet again, threatening to delay planting.
Corn futures were steady amid lower-than-expected weekly export data, while wheat edged higher on supply concerns.
The most-active soybeans on the Chicago Board of Trade (CBOT) was up 0.32% at $17.32 a bushel, as of 0403 GMT, after rising 2.7% on Thursday.
“Soybeans are drawing support from the planting delay in the US and sharp rally in vegetable oil prices,” said a Mumbai-based dealer with a global trading firm.
Commodity Weather Group said in a note to clients that rains would disrupt seeding in North Dakota, South Dakota and Minnesota - the states furthest behind schedule due to cool and wet weather throughout the spring - starting on Saturday.
China has been slowly easing lockdown restrictions and that could boost demand in coming months, he said. Pandemic-hit Shanghai, China’s financial hub, unveiled more post-lockdown plans on Thursday as it moves towards a return to normalcy.
Malaysian palm oil futures hit a three-week high on Friday and were set for a weekly jump, with the market tracking a rally in Dalian palm olein amid tight supplies.
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Wheat was up 0.44% at $11.48-1/4 a bushel and corn climbed 0.1% tb $7.65-3/4 a bushel.
Russian President Vladimir Putin and Italy’s Prime Minister Mario Draghi on Thursday discussed ways to help ease the international food crisis, with the Kremlin saying this could be done only if the West lifts sanctions.
The sharp drop in weekly corn exports from the United States is putting pressure on prices, the dealer said.
The US Agriculture Department said weekly export sales of corn totalled 210,000 tonnes, below forecasts that ranged from 350,000 tonnes to 1.3 million tonnes.
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