Soybean futures rose for the third time this week after the U.S. government reported increased overseas demand. Wheat and corn fell.
In the week ended Oct. 3, exporters sold 929,752 metric tons of soybeans for delivery before Sept. 30, more than double a year earlier, the U.S. Department of Agriculture said in a report today. The top buyer was China, the world’s biggest consumer. Sales of soybean meal, an animal feed, jumped to 850,141 tons, the most since before 1990, government data showed.
“U.S. exporters just keep selling soybeans to China and other overseas customers,” Roy Huckabay, an executive vice president at Chicago-based Linn Group, said in a telephone interview. “The jump in meal sales is the big surprise and the main driver for higher prices today.”
Soybean futures for delivery in January climbed 0.2 percent to $13.065 a bushel at 10:23 a.m. on the Chicago Board of Trade.
Soybean-meal futures for December delivery rose 1.1 percent to $425.90 for 2,000 pounds, after touching $427.40, the highest since Sept. 19. A 60-pound bushel of soybeans produces about 48 pounds of animal feed.
In the 12 months that started Oct. 1, China’s soybean imports may jump 16 percent to a record 69 million tons from a year earlier, and corn shipments might more than double to 7 million tons, the USDA said Sept. 12.
Wheat futures for delivery in December slid 0.1 percent to $7.0125 a bushel on the CBOT, heading for the first decline in three sessions.
Corn futures for delivery in December dropped 0.7 percent to $4.395 a bushel in Chicago. Through yesterday, the most-active contract fell 37 percent this year on USDA forecasts for production to jump 28 percent to a record.
To contact the editor responsible for this story: Steve Stroth at firstname.lastname@example.org