US soyabean futures posted contract lows for a fourth straight session on Thursday after weak US Department of Agriculture (USDA) export sales data and amid ongoing concerns that rain-delayed corn sowing would increase soya plantings.
Corn was mixed as spillover pressure from lower soyabeans offset support stemming from concerns about delayed planting around much of the US Midwest. Wheat climbed for a second straight day on technical buying and short covering.
Grain and soya prices have been steadily eroding as they await any news of concrete progress in US-China trade negotiations.
Officials from the two countries met in Beijing this week and will meet in Washington next week, aiming to resolve a year-long trade war that has slashed China's purchases of US agricultural products, including soyabeans.
The USDA on Thursday reported that a net 336,929 tonnes of US soyabeans were sold for export last week, below trade estimates for at least 400,000 tonnes. Sales of soyameal also fell short of expectations. The USDA's March acres report, based on farmer surveys, showed a year-on-year increase in corn planting and a cut in soya acres.
Spring corn planting across the heart of the US farm belt is off to a slow start due to rainy weather. Forecasts for storms through most of the next two weeks have sparked concerns that more farmers would abandon corn seeding in favour of soyabeans, which can be planted later in the spring.
Chicago Board of Trade (CBOT) July soyabeans were 5-1/4 cents lower at $8.46-1/4 a bushel at 12:32 p.m. CDT (1732 GMT) after posting a contract low of $8.42. Nearly all soya contracts, including new-crop November, also hit new lows. July corn gained 2 cents to $3.70-1/2 a bushel, a 2-1/2-week high. CBOT July wheat added 8-3/4 cents to $4.44-3/4 a bushel, in the contract's strongest gains since mid-March.
Wheat's gains were fuelled by technical buying and short-covering by commodity funds, which hold a massive net short position in grains.
Also supporting CBOT wheat were 324 deliveries against the expiring May contract.
Comments
Comments are closed.