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GRAINS-Soybeans Up For 2nd Day on LatAm Crop Woes, Wheat Firms
calendar11-11-2016 | linkReuters | Share This Post:

* Chicago soybeans rise 1.7 pct, up for second day
* Argentina seen planting fewer acres with soybeans
* Wheat up after two-day decline, corn gains ground

 (Adds details, quotes)

11/11/2016 (Reuters) - Chicago soybean futures rose 1.7 percent on Friday with the market on track for its biggest daily gain in more than two weeks as concerns over lower planting in Argentina underpinned sentiment.

Wheat rose, snapping two sessions of losses on bargain buying while corn gained more ground although ample supplies kept a lid on prices.

For the week, the Chicago Board Of Trade most-active soybean contract is up 2.4 percent, recovering last week's 2.1 percent loss.

Wheat is down 1.81 percent this week, the biggest decline in two months, and corn has lost 1.3 percent, its
second week of losses.

"The Buenos Aires Grain Exchange said Thursday that soy planting in Argentina was only 11 percent complete. More rain is forecast for the southwest next week and so it won't allow for much additional progress to be made in that area," said Tobin Gorey, director of agricultural strategy at Commonwealth Bank of Australia, referring to soybeans.

"Consequently the Exchange has warned that we may see Argentine planting cut as these flood conditions stubbornly persist."

Brazil's official crop supply agency Conab forecast Brazil early next year would harvest a soybean crop of 101.6 million tonnes to 103.5 million tonnes, down slightly from its outlook of 101.9 to 104.0 million tonnes last month.

There is additional support for soybeans with a rally inedible oil markets.

Malaysian palm oil futures rose to their highest levels in over two-and-a-half years on Thursday, supported by government data which showed lower-than-expected inventories for October.
 
Still, lower U.S. weekly soybean exports are capping gains.

The U.S. Department of Agriculture in a weekly report said about 1 million tonnes of U.S. soybeans were sold for export in the week ended Nov. 3, below expectations of 1.7 million to 2 million. 

Export sales of 1.2 million tonnes of U.S. corn were within the range of expectations and export sales of U.S. wheat of 769,581 tonnes were above expectations.

In news, Russian farmers have sown winter grains in the largest area in the last seven years and will plant more in coming weeks, improving prospects for the 2017 crop, analysts said.

Commodity funds were net buyers of CBOT corn, soybean, soymeal and soyoil futures contracts on Thursday and net sellers of wheat futures, traders said.
   
 Grains prices at  0305 GMT
 Contract    Last     Change  Pct chg  Two-day chg  MA 30   RSI
 CBOT wheat  406.50   1.75    +0.43%   -0.06%       409.53  46
 CBOT corn   344.25   0.75    +0.22%   +1.03%       348.68  44
 CBOT soy    1014.75  16.75   +1.68%   +2.40%       988.53  60
 CBOT rice   9.87     $0.03   +0.31%   +1.65%       $10.24  44
 WTI crude   44.42    -$0.24  -0.54%   -1.88%       $48.46  29
 Currencies                                                
 Euro/dlr    $1.091   $0.002  +0.19%   +0.01%              
 USD/AUD     0.7597   -0.001  -0.18%   -0.47%              
 Most active contracts
 Wheat, corn and soy US cents/bushel. Rice: USD per
 hundredweight
 RSI 14, exponential