Soybeans rose for a sixth session in Chicago amid signs of sustained demand from China, the biggest importer of the oilseed, as crushing beans for oil and meal remains profitable.
Exporters reported sales of 106,000 metric tons of soybeans to China for delivery in the 12 months starting Sept. 1, the U.S. Department of Agriculture said yesterday. Chinese soybean crush margins were 183 yuan ($30.21) a ton yesterday, according to Shanghai JC Intelligence Co.
"In soybeans, the market continues to benefit from high crushing margins and sustained export activity toward China," Paris-based farm adviser Agritel wrote in a market comment.
Soybeans for delivery in March climbed 0.2 percent to $13.2075 a bushel at 5:45 a.m. on the Chicago Board of Trade. Futures were poised for the longest rally since Nov. 13.
Wheat for delivery in March gained 0.1 percent to $5.6825 a bushel. Milling wheat for the same delivery month traded on NYSE Liffe in Paris dropped 0.5 percent to 192 euros ($261) a ton.
France’s crop office yesterday cut the outlook for 2013-14 soft-wheat exports outside the European Union to 11.5 million tons from 11.8 million tons on competition from Romania. The former Soviet nation has been winning more export business from Egypt, the world’s biggest wheat importer.
"The outlook for further French wheat exports to Egypt looks weaker too, given strong competition from the Black Sea but most recently from the U.S.," U.K. grain trader Gleadell Agriculture Ltd. wrote in a market comment today.
Egypt is seeking at least 60,000 tons of wheat in a tender today for Feb. 15-28 shipment. The country’s state-run buyer on Jan. 11 agreed to buy 55,000 tons of U.S. soft, red winter wheat at $303 a ton, including freight costs.
"If a large purchase of U.S. wheat is observed, which is possible, we might see some support come through for CBOT futures," Luke Mathews, a commodity strategist at Commonwealth Bank of Australia, wrote in a note.