December 11, 2008
China's soybean futures traded on the Dalian Commodity Exchange settled slightly higher Thursday, tracking a rise at the Chicago Board Of Trade overnight.
The benchmark May 2009 soybean contract settled RMB14, or 0.5%, higher at RMB3,015/tonne.
Outside markets, such as U.S. share and crude oil futures markets, continue to exert more influence on prices than soybean fundamentals, analysts said.
U.S. stocks rallied Wednesday on reports of progress on a plan to bail out Detroit automakers.
Crude oil prices traded in a wide range Wednesday and closed 3.5% higher, well above US$40 a barrel, which also lent near-term support to commodities.
"The market psychology is changing as the outside markets recover and there's a lack of selling pressure at CBOT," said Li Dongji, an analyst at Guotai Jun'an Futures Brokerage.
CBOT soybeans will rebound further if the benchmark contract breaks through the US$8.35-US$8.40 a bushel range, he said. January soybeans on CBOT finished 16 1/2 cents higher at US$8.29 1/2 Wednesday.
Cash domestic soybean prices continue to trend lower in major producing areas, pulled down by cheaper imported soybeans.
China's edible oil and oilseed imports in November improved from the previous month, thanks to falling global commodities prices.
On year, soybean imports declined 0.6% in November compared with October's 25% fall.
Open interest in all soybean contracts fell by 24,350 lots to 556,442 lots Thursday.
Trading volume declined to 662,848 lots from 1,071,068 lots Wednesday.
Corn futures settled lower, while soymeal, soyoil and palm oil futures settled higher.
Thursday's settlement prices in yuan a metric tonne for benchmark contracts and volume for all contracts in lots (One lot is equivalent to 10 tonnes):
Contract Settlement Price Change Volume
Soybean May 2009 3,015 Up 14 662,848
Corn May 2009 1,460 Dn 21 489,862
Soymeal May 2009 2,184 Up 13 371,220
Palm Oil May 2009 4,802 Up 66 135,938
Soyoil May 2009 5,824 Up 40 399,806