December 4, 2009

US soy advance on speculation demand may cut inventory

Soy climbed on speculation the US Department of Agriculture (USDA) may raise its estimates on the nation's exports of soy and demand from crushers, lowering stockpiles at the end of the marketing year.

Allendale Inc., a farm marketing adviser and brokerage, expects soy stockpiles at 240 million tonnes by August 31, lower against the 270 million tonnes inventory forecast by the USDA earlier last month.

January-delivery soy climbed as much as one percent to US$10.44 a bushel in after-hours trading on the Chicago Board of Trade, after closing 2.4-percent lower earlier this week. The contract traded at US$10.4325 a bushel.

March-delivery corn gained as much as 0.6 percent to US$4.09 a bushel in Chicago, after ending 1.9-percent lower earlier this week.

Wheat for March delivery added as much as 0.9 percent to US$5.81 a bushel, after losing 1.4 percent at close Wednesday. It last traded at US$5.78, up 0.4 percent.