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Grain futures mixed; Soybeans rise to 11-week high on strong demand

Published 12/02/2013, 06:03 AM
Investing.com - U.S. grain futures were mixed on Monday, with soybean prices rising to the highest level since September amid ongoing indications of robust demand for U.S. supplies.

On the Chicago Mercantile Exchange, soybeans futures for January delivery traded at USD13.4413 a bushel, up 0.55%.

Prices of the oilseed rallied to USD13.4588 a bushel earlier, the highest since September 19.

The January soy contract settled 1.25% higher on Friday to end at USD13.3640 a bushel.

The U.S. Department of Agriculture reported weekly export sales of U.S. soybeans at 1.77 million tonnes last week, well above market expectations.

The USDA also confirmed private sales of 110,000 tonnes of U.S. soybeans to China for delivery in the 2014-15 crop year.

Elsewhere on the CBOT, wheat for March delivery traded at USD6.7113 a bushel, up 0.3%. Wheat prices climbed to a session high of USD6.7463 a bushel earlier, the strongest level since October 31.

The March contract ended up 0.79% on Friday to settle at USD6.6860 a bushel.

Wheat prices remained supported as potential production shortfalls in Argentina and Australia boosted expectations demand for U.S. supplies will increase in the near-term.

The USDA said that wheat export sales totaled 562,000 tonnes last week, close to the top range of market expectations.

Meanwhile, corn futures for March delivery traded at USD4.2388 a bushel, down 0.2%. The March contract fell to a daily low of USD4.2113 a bushel earlier, the weakest level since November 22.

CBOT March corn settled 0.47% lower on Friday to end at USD4.2440 a bushel.

Corn prices have been on a downward trend in recent months amid expectations this year’s corn harvest in the U.S. will be the largest on record. Prices of the grain slumped to a four-year low of USD4.1540 a bushel on November 8.

According to the USDA, nearly 95% of the corn harvest was completed as of last week, higher than the five-year average of 91% for this time of year.

Corn is the biggest U.S. crop, followed by soybeans, government figures show. Wheat was fourth, behind hay.

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