US MIDDAY: soya retreats
November 16, 2012
US soyabean futures fell under pressure from an increasing global supply outlook on Thursday, while wheat rose on expectations for improved export demand, traders said. Soyabeans had closed higher for the previous two days in a modest rebound from sharp losses this week. Technical selling and diminishing concerns about tight inventories drove prices to a 4-1/2-month low intraday on Tuesday.
Expanding supplies have weighed on the soya market since the US Department of Agriculture, in a crop report on Friday, made a surprisingly big increase to its estimate of the US soya harvest and raised its outlook for global ending stocks. The market is keeping a close watch on soyabean planting in Brazil and Argentina – the world’s second- and third-largest exporters, respectively – with buyers expecting bumper crops early next year to ease global supply tightness. January soyabeans were down 0.5 percent at $14.11-1/2 a bushel at the Chicago Board of Trade by 9:50 a.m. CST (1550 GMT). December corn eased 0.4 percent to $7.22-3/4 a bushel, while December wheat advanced 0.4 percent at $8.52 a bushel.