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Soybeans extend rally on export figures, USDA reports eyed (RT)

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  • Soybeans set for weekly gains of almost 1.5 pct
  • USDA expected to raise forecasts for soybeans and corn
  • Wheat little changed for the week

SYDNEY, Aug 12 (Reuters) – U.S. soybeans rose on Friday as strong export demand pushed the oilseed towards a weekly gain of nearly 1.5 percent.

Corn was unchanged, set to finish the week down about 1 percent. Wheat was set to close the week nearly flat.

The most active soybean futures on the Chicago Board Of Trade Sv1 rose 0.36 percent to $9.87-1/2 a bushel after closing up 0.18 percent on Thursday.

Soybeans have posted gains in four of the last five sessions, pushing the oilseed up nearly 1.5 percent for the week and recouping some of the nearly 3 percent loss from last week.

Soybeans continue to rally on the recent strong demand for U.S. exports, with the U.S. Department of Agriculture (USDA) reporting overseas sales totalling more than 3 million tonnes in the week to Aug. 4, topping analysts’ expectations.

While soybeans continues to draw support from the exports, market direction will depend on the outcome of the USDA supply and demand report later in the session, analysts said.

“China keeps on taking U.S. soybeans, that is why prices are moving upwards,” said Phin Ziebell, an agribusiness economist at National Australia Bank.

Analysts surveyed by Reuters expect the government to raise its soybean yield estimates, but increased export demand for soybeans could prompt the USDA to trim its ending stocks forecasts.

The most active corn futures Cv1 was unchanged at $3.31-3/4 a bushel after closing down 0.4 percent on Thursday.

Corn is down nearly 1 percent for the week, the second consecutive weekly fall after losing more than 2 percent last week.

The USDA is expected to raise its estimate for corn yields.

The most active wheat futures Wv1 was unchanged at $4.16-1/4 a bushel after closing down 1.3 percent on Thursday.

Wheat is little changed for the week after posting gains of more than 2 percent last week.

USDA reported weekly export sales of U.S. wheat above 600,000 tonnes, a five-week high that topped trade expectations.

Wheat traders will be watching on Friday for revisions to the USDA’s world outlook in light of poor harvests in western Europe and bumper crops in the Black Sea region.