Oct. 29 (Bloomberg) -- Soybean futures rose on speculation that processors will snap up U.S. supplies after prices touched a two-week low. Corn rebounded from a three-year low, and wheat also gained.
Exporters shipped 83.6 million bushels of soybeans overseas in the week ended Oct. 24, up 31 percent from a year earlier and the second-most ever, the U.S. Department of Agriculture said yesterday. Sales of soy-based animal feed rose to 850,141 metric tons in the week ended Oct. 3, the most since before 1990, USDA data show. Soybean prices fell 9.8 percent this year as world output rose 12 percent to a record.
“There continues to be very strong demand for U.S. soybeans and soy meal, and that is giving the market some traction,” Brian Grete, the senior market analyst for Professional Farmers of America newsletter in Cedar Falls, Iowa, said in a telephone interview. “Demand will continue to surface on price breaks.”
Soybeans for delivery in January gained 0.2 percent to close at $12.7075 a bushel at 1:15 p.m. on the Chicago Board of Trade, after touching $12.645, the lowest since Oct. 15. The U.S. soybean harvest is 77 percent complete, matching the average pace of the previous five years, the USDA said.
Soybean-oil futures in Chicago rose for the first time in seven sessions after palm oil advanced to an eight-month high, as rains disrupt harvesting in Malaysia, Grete said. Soybean oil competes with palm oil in importing nations including China. Soybean oil’s premium to palm oil yesterday fell to the smallest since May 2012, exchange data compiled by Bloomberg show.
Corn futures for delivery in December rose 0.3 percent to $4.32 a bushel, the first gain in four sessions. Prices earlier touched $4.2825, the lowest for a most-active contract since August 2010, and are down 38 percent this year as USDA forecasts production to jump to a record.
Wheat futures for delivery in December advanced less than 0.1 percent to $6.8125 a bushel, halting a three-session slide.
--Editors: Millie Munshi, Thomas Galatola