CHICAGO: US soybean futures bounced up on Friday as traders scrambled to cover short positions before the weekend, but the rebound was not enough to completely recover from a string of trade war fear-fueled losses that have now stretched into a fourth consecutive week.
Chicago Board of Trade’s July soybean futures ended Friday up 14 cents, at $8.94-1/4 per bushel.
The contract closed the week down 1.2 percent from the previous week.
Nearby CBOT soybean futures fell to a 9-1/2-year low earlier this week, hit by favorable weather along with trade war fears.
Hot, wet weather has boosted crop conditions in the US Midwest, and pressured CBOT soybean contracts in recent weeks. And weather forecasts are expected to continue be favorable for US grain production in the coming days, meteorologists said Friday.
But traders said Friday they now are trying to figure out if the rains will keep helping the soybean crops growing in the Midwest, or if the continual moisture will ultimately have a negative effect on the bean plants and their yields.
Next week, traders say they are planning to closely watch the acreage numbers in the anticipated US acreage and stocks estimates from the US Department of Agriculture, set to be released on June 29.
The market’s focus will be on whether USDA will report a bump up in soybean acres – as well as whether the winter wheat acres will remain as high as the agency has suggested in the past.
Source: Brecorder
