Soybeans Jump to Five-Week High as U.S. Crushes Most Since 2010
Soybeans rose to a five-week high after crushing in the U.S., last year’s biggest shipper, increased in November to the highest level since 2010, adding to signs of stronger demand.
Crushers in the U.S. used 157.3 million bushels last month to make animal feed and cooking oil, the biggest amount since January 2010, data from the National Oilseed Processors Association tracked by Bloomberg showed. U.S. exporters sold 1.319 million metric tons in the week ended Dec. 6, the most soybeans since Nov. 2010, according to government data.
“Strong demand for U.S. soybeans, both domestic and abroad, remains the main factor supporting prices,” Luke Mathews, a commodity strategist at Commonwealth Bank of Australia (CBA), said in a report e-mailed today.
Soybeans for March delivery climbed 0.5 percent to $14.99 a bushel by 6:26 a.m. on the Chicago Board of Trade. Earlier, the price touched $15.0125, the highest for a most-active contract since Nov. 8. The oilseed is heading for a 24 percent gain this year. Corn for March delivery was little changed at $7.3125 a bushel, set for an increase this year of 13 percent.
Wheat for delivery in March rose 0.4 percent to $8.17 a bushel in Chicago, up 25 percent in 2012. In Paris, March- delivery milling wheat was up 0.3 percent at 259.75 euros ($341.91) a ton, heading for a 33 percent increase this year. The Paris contract was at an almost $1.14 per bushel premium to Chicago as of Dec. 14, the widest price difference ever for the two contracts, data compiled by Bloomberg show.
“In wheat markets, the trade is fully expecting the U.S. to pick up the majority of any future tenders,” Jaime Nolan- Miralles, an INTL FCStone Inc. commodity risk manager in Dublin, said today in an e-mailed report.
In the week ended Dec. 6, U.S. exporters sold 573,422 tons of wheat for delivery this marketing year and next, up 62 percent from a week earlier, the U.S. Department of Agriculture said Dec. 13. The U.S. is the world’s biggest wheat exporter.