Soybeans rallied on new rumors that the Argentine Farmer strike would be back on. July beans ended Wednesday’s session 32 cents higher and new crop Nov. 28 cents higher. Persistent rumors of the on again off again have had the Soybean complex moving with each rumor. Some pre-report positioning before USDA issues its monthly crop report Friday. Volume on Wednesday was extremely light. Soybeans traded 85,894, Meal 45, 976 and Oil 51,008. Funds were buyers of an estimated 3,800 Soybeans, Oil 3,200 and Meal 1,400 contracts.
Early Opening Calls lower. The Argentine strike situation once again dominates the Soybean market today. Farmers announced fresh protests against a tax hike on Wednesday deciding to break off weeks of tense negotiations. Argentine government officials are unwilling to reform a new system of grains. Argentine farm leader Eduardo Buzzi said “after 57 days we haven’t advanced. The government has chosen the road of confrontation and that is the reason we have not reached an agreement”. Expectations are for the new strike to last through at least May 15th. today the USDA released weekly export sales. Soybean sales were 280,600 (239,600- 08/08) within estimates of 250,000 to 350,000. Meal sales were 134,200 (12,000 08/09) within estimates of 50,000 to 150,000. Oil sales were 12,000 within estimates of 5,000 to 15,000. India's Forward Markets Commission, the country's commodities market regulator, has suspended futures trading in four commodities as of close of trade Wednesday. The FMC has suspended futures trading in these commodities in order to curtail spiraling inflation due to rising food prices. Overnight Chinese Soybean and Oil futures closed higher, Meal lower. Malaysian Palm Oil futures higher.
Top News **USDA Soybeans 07/08 Export Sales Net: 41,000 mt; 08/09 Net: 239,600 mt; expected 250-400k mt **USDA Soybean Meal 07/08 Export Sales Net: 122,200 mt; 08/09 Export Sales Net: 12,100 mt; expected 50-125k **USDA Soybean Oil 07/08 Export Sales Net: 11,900 mt; 08/09 Export Sales Net: NONE mt; expected 5-20k -- Analysts expect Friday's USDA 2008 Soybean ending stocks at average estimate of 152.0 mln bu, while 2009 ending stocks are projected at 270 mln bu. -- Ag ministry of Argentina said its 07/08 Soybean crop is expected at 59.5 mln mt down from April's estimate of 59.9 mln mt, acc. to Conab. They said southern areas the received poor rainfall totals hindered output -- India gov't immediately halts futures trading in soyoil, potato, chickpeas, & rubber in efforts to combat domestic price inflation. -- CBOT May Soybean Delivery: 99 -- CBOT May Soybean Oil Delivery: 494 -- CBOT May Soybean Meal Delivery: 617 -- Dalian Soybean futures traded overnight higher, Jan futures closed 38 higher at 4,202 yuan/mt; Sept Soymeal futures fell 7 to 3,437 y/mt; Sept Soymeal futures settled at 10,830 yuan/mt up 42 from the prior day -- July palm oil futures in Malaysia settled 102 ringgit higher at 3,457 ringgit/mt ($1=3.16 ringgit) -- Globex Soybean Vol. 71,808; Pit Vol. 11,639; Open Interest Change: - 1,948 -- Weather: 6-10 Day Forecast: Below Normal Temps. Above Normal Precip. The eastern Corn Belt will see showers ending later today. The western Corn Belt will see a few showers Friday. Saturday looks mostly dry. Showers return Sunday west to east. Temps normal to below -- Outside markets: Energy Complex +0.13 at $123.66; Gold & Silver: +7.2 at $878.4 & -0.143 at $16.492; US $ is trading better vs. Euro & is slightly lower vs. Yen.
Cash Markets -- CIF Soybeans steady weak . May +10 to +17, June +27 to +30, July +30 to +40, Sept. +18 to +25, Oct. +16 to +20, Nov. +20 to +28
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