* Reports of U.S.-China trade deal buoy Chicago soybeans * Market up for 2nd week, eyes biggest weekly rise in 2 months (Adds details, quote) By Naveen Thukral SINGAPORE, Dec 13 (Reuters) - Chicago soybeans jumped 1.6% on Friday, with the market set for its biggest weekly gain in more than two months as reports of a trade deal between Washington and Beijing supported prices. Corn and wheat rose for a second session. The most-active soybean contract on the Chicago Board of Trade is up 2.6% this week, the biggest weekly gain since Oct. 4. Soybeans hit a high of $9.14-1/2 a bushel on Friday, the highest since Nov. 20. Corn is up 1.7% for the week after shedding 1.2% last week and wheat has added 1.7% this week, having lost more than 3% in the previous week. "A phase one of U.S.-China trade deal seems to be imminent," said Tobin Gorey, director of agricultural strategy at Commonwealth Bank of Australia. "The risk was that these negotiations would not come to fruition. And then the world would be left with some nasty and disruptive trade policies from both sides." The White House has agreed to suspend some tariffs on Chinese goods and reduce others in return for Beijing's pledge to hike purchases of U.S. farm products in 2020, sources said on Thursday, a step towards de-escalating the protracted trade war between the world's two biggest economies. A sourced briefed on the status of bilateral negotiations said the United States would suspend tariffs on $160 billion in Chinese goods expected to go into effect on Dec. 15 and roll back existing tariffs. In return, Beijing would agree to buy $50 billion in U.S. agricultural goods in 2020, double what it bought in 2017, before the trade conflict started, two U.S.-based sources briefed on the talks said. There was support for the corn market stemming from news that the U.S. Department of Agriculture confirmed private sales of 1.6 million tonnes of corn to Mexico, the fifth-biggest one-day U.S. corn sale on record. Consultancy Strategie Grains said soft wheat production in the European Union would fall 3.6% in 2020 to 140.5 million tonnes, reflecting a decline in seeding. Commodity funds were net buyers of CBOT corn, soybean, wheat and soyoil futures contracts on Thursday and net sellers of soymeal futures, traders said. Trader estimates of net fund buying in corn ranged widely from 11,000 to 35,000 contracts. Grains prices at 0338 GMT Contract Last Change Pct chg Two-day chg MA 30 RSI CBOT wheat 533.00 2.75 +0.52% +1.77% 520.32 62 CBOT corn 383.00 5.25 +1.39% +1.59% 382.49 60 CBOT soy 912.25 14.00 +1.56% +1.22% 905.94 69 CBOT rice 12.41 -$0.02 -0.16% -0.32% $12.17 65 WTI crude 59.49 $0.31 +0.52% +0.42% $57.34 Currencies Euro/dlr $1.117 $0.012 +1.05% +0.64% USD/AUD 0.6924 0.009 +1.26% +1.33% Most active contracts Wheat, corn and soy US cents/bushel. Rice: USD per hundredweight RSI 14, exponential (Reporting by Naveen Thukral; Editing by Shounak Dasgupta)
Our Standards: The Thomson Reuters Trust Principles.