Soybeans climbed for a second day to the highest level in almost a week on speculation that demand for U.S supplies will increase because of shipping delays in Brazil, set to be the biggest exporter this year.
The contract for delivery in May gained as much as 0.9 percent to $14.33 a bushel on the Chicago Board of Trade, the highest most-active price since March 15. Futures were at $14.31 by 1:26 p.m. Singapore time, up 5.9 percent from an almost seven-month low on Jan. 11.
Grains at Paranagua Port, Brazil’s largest soybeans and corn exports hub, were loaded at half the normal pace this month as rains disrupted operations, the port said yesterday. Loading was halted for 27 days this year because of rain and 73 ships were waiting to load grains and soybeans, it said in a report.
“The port issue is a constant problem and is likely to remain so for a couple of weeks,” said Ker Chung Yang, an analyst at Phillip Futures Pte in Singapore. “The demand for soybeans has recovered.”
U.S. export sales of soybeans probably advanced to as much as 700,000 tons in the week ended March 14, according to a survey of five analysts compiled by Bloomberg. That’s compared with 356,677 tons in the week to March 15, 2012. The U.S. Department of Agriculture, which estimates Brazil to ship more beans than the U.S. this year, will release its sales report in Washington today.
At major ports in Brazil, 206 vessels set to haul 12.3 million tons of soybeans and related products were berthed, arrived or expected as of yesterday, from 11.9 million tons a week ago, said SA Commodities and Unimar Agenciamentos Maritimos.
Corn for May delivery was little changed at $7.3225 a bushel. Wheat for delivery in the same month was also little changed at $7.3575 a bushel.
To contact the editor responsible for this story: James Poole at firstname.lastname@example.org