GRAINS-Soybeans rise for 2nd session on bargain-buying, wheat down

| Thu, 26 Jan 2023 01:34:32 GMT

SINGAPORE, Jan 26 (Reuters) – Chicago soybean futures gained more ground on Thursday, helped by bargain-buying, although the advance was limited by rains across Argentina’s farm belt which boosted crop prospects.

Wheat prices were marginally down after Wednesday’s rally on concerns over Black Sea supplies amid the Russia-Ukraine war.

FUNDAMENTALS

* The most-active soybean contract on the Chicago Board of Trade (CBOT) rose 0.1% to $15.03-3/4 a bushel, as of 0116 GMT. Wheat gave up 0.1% to $7.40-1/2 a bushel and corn lost a quarter of a cent to $6.74-1/2 a bushel.

* Soybean prices strengthened on a round of short-covering and bargain-buying.

* Rains across Argentina’s drought-hit soybean-growing areas in recent days have eased fears of crop losses.

* Soybean sales from Argentina’s 2021/2022 harvest covered 80.6% of the 44 million tonne harvest, as of last week, below the 82.6% sold from the previous season at the same time, data from its agricultural ministry showed Wednesday.

* Around 94% of Russia’s winter crops are in a good or satisfactory condition, Russia’s agriculture ministry said on Wednesday.

* India will provide 3 million tonnes of wheat to bulk consumers such as flour millers, as part of efforts to bring down prices, which jumped to a record high on Wednesday, a government official told Reuters.

* The allocation is more than traders’ expectations of around 2 million tonnes. The market was waiting for government permission for nearly two months as supplies dwindled at the tail end of the wheat marketing year even as demand surged.

* Commodity funds were net buyers of CBOT soybeans, wheat and soymeal futures contracts and net sellers of corn and soyoil futures, traders said.

MARKET NEWS

* Global equity markets skidded on Wednesday as poor corporate results fuelled recession fears, as did the ongoing inversion of short- and long-dated Treasury yields – a harbinger of economic downturns.

DATA/EVENTS (GMT) 1330 US Durable Goods Dec 1330 US GDP Advance Q4 1330 US Initial Jobless Clm Weekly 1500 US New Home Sales-Units Dec (Reporting by Naveen Thukral; Editing by Subhranshu Sahu)

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