Soybeans set for weekly gains as on higher expectations
Chicago soybeans inched higher on Friday, with the market set to end the week on a positive note as hopes for higher demand and comments by U.S. officials on a possible de-escalation in the trade tensions with China supported prices.
Wheat edged higher, although forecasts of improved weather in U.S. Plains limited the upside in prices, while corn was largely unchanged.
FUNDAMENTALS
* The most-active soybean contract on the Chicago Board of Trade (CBOT)
* For the week, soybeans are up 2.7%, corn is down 1.3% and wheat has given up 3.2%.
* Japan is considering an increase in soybean imports from the United States as part of tariff negotiations, the Nikkei reported on Thursday, giving investors hope that demand from outside China might be on the rise, according to Randy Place, an analyst with the Hightower Report.
* Meanwhile, U.S. President Donald Trump and U.S. Treasury Secretary Scott Bessent suggested this week that current tariffs could be lowered as part of negotiations with China.
* However, China called for all "unilateral" U.S. tariffs to be cancelled on Thursday, clarifying it has not held trade talks with Washington despite repeated comments from the U.S. government.
* Wheat prices remained pressured by rain in major production zones in the U.S. Plains, which provided some relief to the dry region. Wetter weather in the western Plains should limit stress and aid hard red winter wheat heading, according to forecaster Commodity Weather Group.
* The European Commission on Thursday cut slightly its production forecast for the European Union's main wheat crop in 2025/26, but increased its stocks outlook as it saw more supplies left over from this season than previously anticipated.
* Commodity funds were net buyers of CBOT corn, soybean and soyoil futures contracts on Thursday, traders said. Funds were net sellers of soymeal futures and net even in wheat futures, traders said. (COMFUND/CBT)
MARKET NEWS
* Major stock indexes rose on Thursday, with technology shares leading Wall Street higher as investors awaited further developments in the U.S.-China trade conflict, while the dollar slipped after recent gains.
DATA/EVENTS
0600 UK Retail Sales MM, Ex-Fuel MM, YY Mar
0645 France Business Climate Mfg, Overall Apr
1400 US U Mich Sentiment Final Apr
ZS1!
rose 0.2% to $10.63-3/4 a bushel, as of 0007 GMT, wheat
ZW1!
added 0.3% to $5.46-1/4 a bushel and corn
ZC1!
was flat at $4.84 a bushel.