Grain futures rebound - Soybeans rise on U.S. export demand
Investing.com
Published Apr 25, 2013 06:16AM ET
On the Chicago Mercantile Exchange, soybeans futures for May delivery traded at USD14.1812 a bushel, up 1% on the day. The May contract rose by as much as 1.15% earlier in the session to hit a daily high of USD14.1938 a bushel.
Soybean prices rebounded after the U.S. Department of Agriculture said U.S. farmers sold 116,000 tons to unknown buyers, for delivery in the 12 months starting September 1.
Market participants commonly interpret listings of sales to "unknown destinations" as a sign of Chinese buying.
The USDA already reported a sale of 392,000 tons of U.S. soybeans to China earlier in the week.
China is the world’s largest soybean consumer, accounting for nearly 60% of global trade of the grain.
Meanwhile, corn futures for May delivery traded at USD6.4262 a bushel, up 0.5% on the day. The front-month contract rose by as much as 0.6% earlier to hit a session high of USD6.4362 a bushel.
The May contract fell to a two-week low of USD6.3612 a bushel on Wednesday after weather forecasters predicted mostly favorable weather conditions in the U.S. Midwest, which could aid early-season corn planting.
However, the uncertainty about shifting weather forecasts kept traders cautious about pushing prices lower.
Elsewhere, wheat for May delivery traded at USD6.9612 a bushel, up 0.6% on the day. The front-month May contract rose by as much as 0.7% earlier to hit a session high of USD6.9688 a bushel.
Investors continued to monitor weather conditions in the U.S. Great Plains-region, which could aid the winter-wheat crop and allow more planting of spring wheat.
Corn is the biggest U.S. crop, followed by soybeans, government figures show. Wheat was fourth, behind hay.
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Written By: Investing.com
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