October 28, 2019 / 3:54 AM / 22 days ago

GRAINS-Soybeans rebound from 2-week low on U.S.-China trade progress

    * Soybeans hit Oct. 10 low of $9.19-1/2 a bushel on Friday
    * U.S. and China expected to seal limited trade agreement
    * Wheat falls 0.8%, corn slips 0.3%

    By Colin Packham
    SYDNEY, Oct 28 (Reuters) - U.S. soybean futures edged higher
on Monday, rebounding from a two-week low touched in the
previous session, as market sentiment was buoyed by signs of a
thawing in the trade war between Washington and Beijing.
    Corn edged lower, while wheat fell more than 0.5%.
    The most active soybean futures on the Chicago Board Of
Trade were up 0.1% at $9.21-1/2 a bushel, as of 0326 GMT,
having closed down 1.4% on Friday when prices hit an Oct. 10 low
of $9.19-1/2 a bushel.
    "The market has been buoyed by the prospects of a first
stage U.S.-China trade deal," said Tobin Gorey, director of
agricultural strategy, Commonwealth Bank of Australia.
    "The first-stage deal will be to the benefit of U.S. beans."
    U.S. and Chinese officials are "close to finalising" some
parts of a trade agreement after high-level telephone
discussions on Friday, the U.S. Trade Representative's office
and China's Commerce Ministry said, with talks to continue.

    An outlook for favourable weather, however, checked gains
with forecasts calling for dry weather across key producing
regions that will allow U.S. farmers to rapidly advance
harvesting.
    The most active corn futures were down 0.3% at
$3.85-3/4 a bushel, having closed unchanged in the previous
session.
    The most active wheat futures were down 0.8% at
$5.13-3/4 a bushel, having closed up 0.3% on Friday.
    Analysts also noted uncertainty surrounding any potential
change to Argentina's export tax policy following the election
of leftist Alberto Fernández as the country's next president.

    Argentina is a major world supplier of soybeans, corn and
wheat, as well as the No.1 exporter of soymeal livestock feed,
fuelling Asia's shift in diet from rice toward animal protein.
        
 Grains prices at  0326 GMT
 Contract        Last  Change  Pct chg  Two-day chg   MA 30   RSI 
 CBOT wheat    513.75   -4.00   -0.77%       -0.44%  500.39     49
 CBOT corn     385.75   -1.00   -0.26%       -0.26%  384.55     41
 CBOT soy      921.50    1.25   +0.14%       -1.26%  914.53     40
 CBOT rice      12.04  -$0.01   -0.08%       +0.50%  $12.19     42
 WTI crude      56.53  -$0.13   -0.23%       +0.53%  $55.02     69
 Currencies                                                       
 Euro/dlr      $1.108  $0.000   +0.00%       -0.23%               
 USD/AUD       0.6812  -0.001   -0.15%       -0.07%               
 Most active contracts
 Wheat, corn and soy US cents/bushel. Rice: USD per hundredweight
 RSI 14, exponential
 
 (Reporting by Colin Packham; Editing by Shounak Dasgupta)
  
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