Soy Oil chart reading : side way range bound little upside biased.
Soybeans (Source: CME)
US soybean futures climbed, with prices jumping amid the uncertainty of acreage in the face of tight supplies. Lagging planting progress in eastern Midwest is keeping a cloud over the market, with traders factoring in the risk of acreage shifts from corn to soy or idled land as seedings lag well behind historical averages. Outlooks for insatiable demand to return to the market through the 2011-12 marketing year that ends August 2012 places increased pressure on farmers to produce bumper crops in 2011. CBOT July soy ended up 0.7% at $13.86 1/4/bushel.
Soybean Meal/Oil (Source: CME)
Soy product futures end mixed, with soymeal rising in step with soybeans. The uncertainty of 2011 soy production and supplies increase fear of shorter supply availability of soy for crushing into soymeal, analysts said. Soyoil futures inched lower, unable to sustain early advances amid the negative influence of lower crude oil futures. Crude oil influences soyoil due to its use in making renewable fuels. CBOT July soyoil settled down 0.1% at 58.43 cents/pound, and July soymeal ended up 1.5% at $360.70/short ton.
India Eyeing Bumper Oilseeds, Pulses Crops Again In 2011-12 (Source: CME)
With the forecast of a normal monsoon and the timely arrival of rains, India will likely maintain record oilseeds output and increase its pulses crop to cut imports during the crop year beginning July 1, Farm Secretary P.K. Basu said. Oilseeds output is estimated to have jumped to 30.25 million tons in 2010-11 from 24.88 million tons a year ago, while pulses production is expected to rise to 17.5 million tons from 14.66 million tons during the same comparative period. "Even if we can maintain the output [of oilseeds] next year, it will be very good," the farm secretary said. "For pulses, next year we will aim for a production of 18 million tons plus [in 2011-12]." Following the rise in output, the country's edible oil imports during November-April decreased 15% to 3.5 million tons, while pulses imports may fall to between 1.5 million tons and 1.75 million tons in the fiscal year started April 1, from 2.75 million tons in 2010-11, officials said.
India is the world's largest edible oil importer after China, meeting more than half its requirements through imports. The country is also the world's largest buyer of pulses, and meets around a fifth of its annual needs through imports. It is largely self-sufficient in foodgrain staples such as wheat and rice as well as other food crops such as sugarcane. "Timely arrival of monsoon will facilitate timely sowing, although there are other factors. If all goes well, foodgrain production will cross 240 million tons in 2011-12," Basu said. "Even this year, foodgrain output will be more than the last estimate [of a record 235.88 million tons]." He said the government is also gearing up to increase foodgrains output, mainly rice, from the eastern region by 20%-30% as the area's full potential is yet to be tapped.
Weather officials are optimistic that the country will receive normal monsoon rains, particularly after the seasonal rains entered India's mainland through the southern state of Kerala two days earlier than the forecast date of May 31. The seasonal rains gradually progress to cover the rest of the country by July, including the grainbowl northern region, as well as sugarcane- and oilseeds-producing western and central region. Basu said all signs are positive and the monsoon is even expected to hit the western city of Mumbai two to three days ahead of the usual June 10. "Both the sugarcane and cotton areas will be more than 2010-11," the farm secretary said. India's sugar output is estimated at around 24.2 million metric tons during the marketing year that began Oct. 1, leaving it a surplus of around 2 million tons.
The country is estimated to have produced 31.2 million bales of cotton in the crop year through September, up from 29.5 million bales last year. India allowed exports of 5.5 million bales during 2010-11 amid a worldwide shortage.
Palm oil firms on exports, sluggish markets weigh
KUALA LUMPUR, June 1 (Reuters) - Malaysian palm oil futures held firm on Wednesday in choppy trading as strong export growth boosted sentiment while sluggish external markets discouraged position-taking.
"The market is getting support from crude oil and exports data, although agriculture markets are not moving in a definite direction," said a trader with a foreign commodities brokerage.
No comments:
Post a Comment