September 5, 2008
Asia Grain Outlook on Friday: Soybeans slide on dollar rally, weak crude
Asian soybean prices fell this week as softer crude oil weighed on soyoil prices, traders said. Prices are also likely to remain under pressure from a strengthening dollar.
The benchmark January 2009 soybean contract on the Dalian Commodity Exchange settled Friday down 1.4%, or RMB60 lower at RMB4,112/tonne, after trading in a tight range of RMB4,083-RMB4,133/tonne.
Soybeans on the Chicago Board of Trade stumbled to a three-week low on Thursday as the U.S. dollar rallied to its highest level this year against the euro.
The September CBOT soybean contract closed Thursday down 17 cents at US$12.34 per bushel.
Soybean prices are likely to continue to face pressure as rain brought by Hurricane Gustav is expected to support crop growth in the Midwest, the main U.S. soybean-producing area.
