You are here

GRAINS-Soybeans ease for 2nd day as market awaits Chinese buying

* Soybeans market looks for Chinese buying after trade talks * Chicago wheat firms after two days of losses; corn dips (Recasts with details, adds quote) By Naveen Thukral SINGAPORE, Dec 7 (Reuters) - Chicago soybean futures slid for a second session on Friday, giving up ground as the market is still awaiting promised Chinese buying following Sino-U.S. trade talks. The market is set to end the week on a positive note, though, rising for a second consecutive week on expectations that trade talks between the two nations in Argentina will result in a resumption of U.S. soybean sales to China. The most-active soybean contract on the Chicago Board of Trade lost 0.1 percent to $9.08-1/4 a bushel by 0229 GMT. The market is up 1.5 percent so far this week. China on Thursday expressed confidence in striking a trade deal with the United States within their 90-day ceasefire period, praising the meeting between U.S. President Donald Trump and Chinese President Xi Jinping as highly successful. But China's renewed buying of U.S. soybeans and other agricultural products has yet to emerge. "The U.S.-China deal still needs proper confirmation in the form of buying before the market can get real confident about progress," said Ole Houe, director of advisory services at brokerage IKON Commodities in Sydney. "Every day there is lack of progress we will likely see beans give up a bit of ground." The market came under some pressure on Thursday on concerns over the status of the trade negotiations after the arrest of smartphone maker Huawei Technologies Chief Financial Officer Meng Wanzhou. There is additional pressure on soybeans on expectations of large production in South America. Argentine soybean exports to China could jump to a record 14 million tonnes this season if the trade war between China and the United States continues, the Rosario grains exchange said, as output rebounds from last year's drought. There are also forecasts of record Brazilian soybean output, which is expected to further reduce China's need for U.S. supply. Chicago corn lost 0.1 percent to $3.82-1/2 a bushel. Wheat added 0.1 percent to $5.16 a bushel. The U.S. Department of Agriculture confirmed private corn sales to Mexico totalling nearly 200,000 tonnes on Thursday. Egypt's GASC bought 350,000 tonnes of Russian and Ukrainian wheat in the tender. There was no U.S. wheat offered. Commodity funds were net sellers of Chicago Board of Trade corn, wheat, soybean, soymeal and soyoil futures contracts on Thursday, traders said. Grains prices at 0229 GMT Contract Last Change Pct chg Two-day chg MA 30 RSI CBOT wheat 516.00 0.50 +0.10% -1.24% 513.08 46 CBOT corn 382.50 -0.25 -0.07% -0.58% 377.71 62 CBOT soy 908.25 -1.25 -0.14% -0.38% 881.42 66 CBOT rice 10.83 $0.00 +0.00% -1.32% $10.78 50 WTI crude 51.26 -$0.23 -0.45% -3.08% $57.28 Currencies Euro/dlr $1.137 $0.003 +0.25% +0.18% USD/AUD 0.7222 -0.012 -1.57% -1.81% Most active contracts Wheat, corn and soy US cents/bushel. Rice: USD per hundredweight RSI 14, exponential (Reporting by Naveen Thukral; Editing by Sherry Jacob-Phillips and Tom Hogue)

© Copyright Thomson Reuters 2018. Click For Restrictions -

Read more about

Talk in Marketing

Most Recent Poll

Have you started preparing for planting season?