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GRAINS-Soybeans hit more than 4-year high as supplies dwindle

SYDNEY, Nov 11 (Reuters) - U.S. soybean futures rose to a more than four-year high on Wednesday amid forecasts that the end-of-season supplies in the United States will be the smallest in seven years.

FUNDAMENTALS

* The most-active soybean futures on the Chicago Board of Trade were up 0.9% at $11.55-3/4 a bushel by 0203 GMT, near the session high of $11.56-3/4 a bushel - the highest since July 2016. Soybeans firmed 3.2% on Wednesday.

* Corn futures were up 0.5% at $4.25 a bushel, having gained 3.8% in the previous session when prices hit a July 2019 high of $4.27-1/4 a bushel.

* Wheat futures were up 0.1% at $6.09-1/4 a bushel, having closed up 1.8% on Tuesday.

* The USDA lowered its estimate of the U.S. 2020/21 soybean yield to 50.7 bushels per acre, below the lowest in a range of trade expectations.

* The USDA projected that U.S. soybean stockpiles would dwindle to 190 million bushels by the end of the 2020/21 marketing year, which would be the smallest ending stocks since 2013/14, if realised.

* The USDA lowered its forecast of Argentina’s 2020/21 soybean crop to 51 million tonnes, from 53.5 million last month, but left its estimate of Brazil’s crop unchanged at 133 million tonnes.

* Brazilian crop supply agency Conab raised its forecast of the country’s soybean harvest to 134.953 million tonnes, from 133.673 million in October.

MARKET NEWS

* The dollar’s gains were put on hold on Wednesday as optimism about a coronavirus vaccine was offset by worries about how the drug will be delivered and by a surge of new infections in the United States.

* Asian shares rose as hopes for a successful coronavirus vaccine lifted expectations of a swift reopening of the global economy, which would help the region’s heavily trade-dependent markets.

Reporting by Colin Packham

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