CBOT soybeans retreat from 21-month peak on pre-weekend profit taking
CHICAGO, March 13 (Reuters) - Chicago Board of Trade soybean futures eased on Friday in a profit-taking setback from a 21-month high posted in the prior session, though losses were limited by rising crude oil prices and hopes for progress in U.S.-China trade talks.
Higher crude prices can support soybeans as soyoil is widely used to produce biodiesel fuel. Soy processing margins have also swelled as the price of soyoil, a key biodiesel feedstock, has firmed.
The National Oilseed Processors Association is due to release its February U.S. crush report on Monday. Analysts, on average, expect the crush at 202.725 million bushels, with a daily processing rate at the third-highest level on record.
Expectations that the U.S. government may soon release final biofuel blending rules were also supportive. Proposed rules suggest demand for soyoil to make crop-based diesel fuel would rise.
Investors squared positions in soybeans ahead of trade talks between the U.S. and top soy importer China over the weekend and an expected meeting between Presidents Donald Trump and Xi Jinping at the end of the month.
Brazil's 2025/26 soybean output is expected to reach a record 177.85 million metric tons, national crop agency Conab said on Friday, slightly trimming its February forecast of 177.98 million tons.
CBOT May soybeans SK26 settled 2 cents lower at $12.25-1/4 per bushel after hitting the highest level for a most-active contract Sv1 since May 2024 during Thursday's session. The contract gained 2% in the week, its sixth straight weekly advance.
CBOT May soyoil BOK26 ended up 0.02 cent to finish at 67.44 cents per pound.
CBOT May soymeal SMK26 rose $2.50 to end at $322.70 per short ton.
