(Reuters) – U.S. soybeans edged higher on Monday, rebounding from losses of nearly 1 percent in the previous session, though gains were checked by weak Chinese import data, raising fears of soft demand for the oilseed from the world’s largest buyer.
FUNDAMENTALS
Chicago Board Of Trade March soybeans rose 0.1 percent to $9.74-1/4 a bushel, having closed down 0.8 percent on Friday. March corn rose 0.45 percent to $3.87-1/2 a bushel; having gained 0.13 percent in the previous session. March wheat rose 0.4 percent to $5.29 a bushel, having closed up 0.24 percent on Friday. China’s trade performance slumped in January, with exports falling 3.3 percent from year-ago levels while imports tumbled 19.9 percent, far worse than analysts had expected and highlighting deepening weakness in the Chinese economy.
Egypt’s state grain buyer could soon announce tenders to buy wheat of U.S. origin only in order to make use of a $100 million credit line made available to it by the United States.
Russia could harvest 85-95 million tons of grains this year, the head of the IKAR agriculture consultancy said on Friday, describing the forecast as moderately optimistic.
Brazil’s dry northeast may see drier conditions after welcome rainfall on the weekend. Weather models though are projecting an extended dry spell in the region so relief may be short-lived. Should those projections persist there may be some further small downgrades to Brazilian crop estimates, analysts said.
MARKET NEWS
The dollar held to a swathe of gains on Monday after robust U.S. jobs data helped rekindle views that the Federal Reserve will hike interest rates as early as June. Oil prices jumped on Monday as falling U.S. oil rig counts and conflict in producer Libya helped stretch a rally from last week when crude surged the most since 2011.
