Soybean futures turned higher Wednesday on heightened demand prospects.
Traders bought oilseed contracts in reaction to updated forecasts for higher Chinese soybean imports this year. State-owned Cofco Corp. put soybean imports at 100 million metric tons in 2017-18, market observers said, above the 97 million forecast by the U.S. Department of Agriculture.
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Meanwhile, the National Oilseed Processors Association said its members crushed 164.2 million bushels of soybeans in October, closer to the previous year's record 164.6 million than expected.
Signs of robust demand for U.S. soybeans sparked buying interest Wednesday, particularly after heavy selling in many grain and oilseed contracts this week.
"Market bearishness has reached a fevered pitch in the past few days," said AgResource Co. in a note to clients. "The oversupply of corn, wheat and soy is well known at this point ... the market is heavily leaning towards one side."
January soybean futures rose 0.9% to $9.76 1/4 a bushel at the Chicago Board of Trade, rebounding from a month low. December corn futures rose 0.2% to $3.38 1/4 a bushel after falling to the lowest close since August on Tuesday.
Rainfall in Brazil this week has eased worries about stress to the corn and soybean crops there. But AgResource pointed to dry weather in Argentina, also a major crop exporter, as a potential cause of concern going forward and a positive short-term factor for prices.
CBOT December wheat futures fell 1.9% to $4.20 a bushel, giving back Tuesday's modest gains.
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(END) Dow Jones Newswires
November 15, 2017 16:32 ET (21:32 GMT)