June 2, 2006

 

Friday: China soybean futures settle higher on CBOT; corn up

 

 

Soybean futures traded on China's Dalian Commodity Exchange settled higher Friday, on overnight gains in Chicago Board of Trade soybean futures.

 

The benchmark September 2006 soybean contract settled RMB18 higher at RMB2,621 a metric tonne, after trading between RMB2,610/tonne and RMB2,630/tonne.

 

Trading volume for all soybean contracts fell to 21,988 lots from 55,892 lots Thursday.

 

One lot equals 10 tonnes.

 

No. 2 soybean contracts, which are encouraged to be delivered with soybeans harvested from genetically modified crops, settled higher.

 

The benchmark September contract rose RMB11 to settle at RMB2,525/tonne.

 

"CBOT gains on weather concerns were a solid reason for a technical correction from Thursday's sharp losses, which were largely due to other commodities futures," said Xu Yulan, an analyst with Yongan Futures Co.

 

However, on the fundamentals front, analysts said there were still few positive factors to offer support.

 

Soymeal and soyoil futures settled mostly up, along with soybean futures.

 

The benchmark November 2006 soymeal contract rose RMB34 to settle at RMB2,318/tonne, after trading between RMB2,307/tonne and RMB2,330/tonne.

 

Total trading volume fell to 417,914 lots from 623,044 lots Thursday.

 

The benchmark September 2006 soyoil contract settled RMB14 higher at RMB5,203/tonne.

 

Corn futures settled higher on bargain hunting, after Thursday's losses, analysts said.

 

The benchmark March 2007 contract rose RMB10 to settle at RMB1,510/tonne, after trading between RMB1,497/tonne and RMB1,519/tonne.

 

Total trading volume for all corn contracts fell to 735,104 lots from 1,212,446 lots Thursday.