China soy market bullish after Argentina resumes trade

China's soy market is seen to be bullish in the coming days, supported by strong import interest as Argentina resumes trade, an official think tank said.

Falling freight rates would also spur buying by crushers in coming weeks, the China National Grain and Oils Information Centre (CNGOIC) said.

Yet the soymeal market is expected to weaken for the second week after record prices discourage demand.

As Chinese chicken breeders were losing money, demand will remain low in the coming weeks, the centre said.

The soy oil market had turned bearish after merchants tried to lower prices to sell stocks.

Soy oil prices dropped by 5 percent this week and demand was seen flat in coming weeks.

Meanwhile, corn prices picked up in the largest consuming province of Guangdong in the south. A typhoon had also interrupted trade in the area.

The outlook for wheat remained bullish after the state reserves bureau reduced the amount of wheat to the market.

The wheat harvest was about to be completed but farmers were not yet so active selling their grains, driving prices to rise.