Chicago soybeans rise on trade hopes despite sluggish weekly exports
CHICAGO, July 24 (Reuters) - Chicago Board of Trade soybean futures clawed back some of their losses on Thursday, ending the day higher on technical trading and trade deal hopes - even as U.S. weekly export sales came in at the lower end of trade estimates and U.S. crop weather continued to weigh on grain and oilseed markets, analysts said.
CBOT's most-active November soybeans SX25 settled up 1-1/2 cents at $10.24-1/4 a bushel.
CBOT's August soymeal futures SMQ25 ended $2.30 lower to settle at $279.70 per short ton. Most-active December soymeal futures SMZ25 fell $2.50, closing at $283.10 per short ton.
CBOT's August soyoil BOQ25 closed up 0.53 cent at 56.67 cents per pound, while December soyoil futures BOZ25 rose 0.48 cent at 56.34 cents per pound.
Spread trading developed in the soybean complex as first notice day on the August contract is one week away, said Karl Setzer, partner at Michigan-based Consus Ag.
Soybeans also faced some spillover pressure from weakness in the CBOT soymeal market, which turned lower on news that Chinese buyers have inked a second bulk soybean meal deal with Argentina, as animal feed producers ramp up purchases to take advantage of softer prices in the South American market.
Traders also said that while they're expecting to see a flurry of U.S. trade deals announced in the coming days by the Trump administration, they are waiting to make any big changes to their demand models because it will take time to understand how such deals could impact U.S. agricultural exports, either positively or negatively.
Some traders told Reuters that they are closely watching forecasts for daily Midwest showers, amid some concerns that wet soil conditions could negatively impact soybean yields.
Ukraine's grain unions on Thursday called on President Volodymyr Zelenskiy to veto a law introducing a 10% export duty on rapeseed and soybeans, saying it will affect local producers and damage Ukraine's reputation in external markets.
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