Reuters logo
GRAINS-Soy rises on strong demand, wheat firms after deep losses
October 15, 2015 / 2:45 AM / 2 years ago

GRAINS-Soy rises on strong demand, wheat firms after deep losses

* U.S. soybeans gain 0.3 pct on strong Chinese demand
    * Wheat up after losses, improved weather outlook caps gain

 (Adds comment, detail)
    By Naveen Thukral
    SINGAPORE, Oct 15 (Reuters) - U.S. soybean futures rose on
Thursday with prices underpinned by Chinese buying and concerns
over dryness in Brazil, while corn slid for a second session as
the weather helped harvesting in the United States.
    Wheat ticked higher after declining 2.3 percent on Wednesday
on pressure from forecasts of beneficial rains in parts of the
U.S. winter crop belt.
    Chicago Board of Trade November soybeans had gained
0.3 percent to $9.13-1/4 a bushel by 0214 GMT, while December
wheat added 0.2 percent to $5.09 a bushel. December corn
 gave up 0.3 percent to $3.78 a bushel.
    "The demand-side for soybeans looks strong as Chinese
imports of U.S. soybeans are picking up with Brazil slowing
down," said Kaname Gokon at brokerage Okato Shoji in Tokyo.
    "There is dryness in parts of Brazil, if it remains like
that it could hurt yields."
    The wheat market is being weighed down by forecasts for
showers next week in portions of the southern U.S. Plains, where
dry conditions have hindered wheat planting and germination.
    The upside potential in U.S. wheat is likely to be limited
because of stiff competition in the international market.
    Egypt, the world's biggest wheat importer, set a tender on
Wednesday to buy an unspecified amount of wheat from global
suppliers for shipment from Nov. 21-30. The country has awarded
most of the tenders this year to European and Black Sea
suppliers.
    Soybean prices are being supported by concerns over dryness
in Brazil and strong demand from China.
    Conditions in Mato Grosso, Brazil's top soybean state, have
been dry, while farther south, Rio Grande do Sul has endured
excessive rains.
    Private exporters reported sales of 235,000 tonnes of U.S.
soybeans for delivery to China during the 2015/16 marketing year
that began on Sept. 1.
    The U.S. Corn Belt has been mostly dry in recent weeks,
ideal for harvest. The U.S. Department of Agriculture said 42
percent of the U.S. corn crop was cut as of Sunday, near the
five-year average of 43 percent.
    Soybean harvest was 62 percent complete, above the five-year
average of 54 percent, the agency said in its weekly crop
progress report.
    Commodity funds sold an estimated net 8,000 Chicago Board of
Trade corn contracts on Wednesday, trade sources said. The funds
 were net sellers of 5,000 wheat contracts and
4,000 soybean contracts.
    
  Prices at  0214 GMT
  Contract        Last    Change  Pct chg  Two-day chg MA 30   RSI 
  CBOT wheat     509.00     0.75  +0.15%    +0.44%     498.23   51
  CBOT corn      378.00    -1.00  -0.26%    -0.72%     382.75   39
  CBOT soy       913.25     2.75  +0.30%    +2.90%     880.95   69
  CBOT rice      $12.07   -$0.08  -0.66%    -6.36%     $12.86   17
  WTI crude      $46.54   -$0.10  -0.21%    -0.26%     $46.07   47
  Currencies                                                
  Euro/dlr       $1.147   $0.012  +1.03%    +1.04%
  USD/AUD         0.733   -0.003  -0.37%    +0.01%
  Most active contracts
  Wheat, corn and soy US cents/bushel. Rice: USD per hundredweight
  RSI 14, exponential
                                                                             
 
 (Reporting by Naveen Thukral; Editing by Joseph Radford)

Our Standards:The Thomson Reuters Trust Principles.
0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below