Monday, April 18, 2011

20110418 1839 FCPO EOD Daily Chart Study.

FCPO closed : 3246, changed : +13 points(continuous chart up 10 points), volume : lower.
Bollinger band reading : side way range bound little downside biased.
MACD Histrogram : turned negative, seller testing market.
Support : 3200, 3150, 3100, 3070 level.
Resistance : 3250, 3270, 3300, 3350 level.
Comment :
FCPO closed recorded small gain with decreasing lower volume changed hand while soy oil last Friday closed nearly unchanged and currently trading marginally higher. Reuters reported that price inched up slightly on hope that wider discount compare to rival soy oil (about USD 180) may ignites price sensitive buyer from India and China to switch over to palm oil.
Daily chart formed a down doji bar candle closed near lower Bollinger band level with the bandwidth started to expand outwards after market opened little higher, traded within 48 points range before closed little lower from opening price.
Chart reading still suggesting a side way range bound little downside biased market development possibly testing lower support level with MACD indicator having little negative cross down today.
When to buy : buy at support or weakness with quick cut loss and profit target.
When to sell : sell at resistant or strength with quick cut loss and profit target.

20110418 1747 Global Market & Commodities Related News.

Stocks take China tightening in stride, euro falls
HONG KONG, April 18 (Reuters) - Asian stocks rose on Monday as investors bet that China's latest round of policy tightening won't dent prospects of a global economic recovery while the euro weakened on a broad wave of profit-taking.
China on Sunday raised banks' reserve requirements for the fourth time this year. The move was not a surprise as market players had predicted more tightening after last week's data showed an acceleration in inflation.

U.S. crude slips below $109,shrugs off Saudi output cut
SINGAPORE, April 18 (Reuters) - U.S. crude futures slipped below $109 a barrel on Monday after three days of gains, as fears that high prices would dampen demand overrode concerns over a cut in Saudi oil output.
"The market had a great run on Friday, but oil continues to underpin inflationary fears as people start to worry how high it's going to get," said Ben Le Brun, market analyst with CMC Markets in Sydney.

LNG long-term prices seen rising on Qatar-Japan deal
TOKYO, April 18 (Reuters) - Long-term gas prices are likely to rise after top liquefied natural gas exporter Qatar announced at the weekend it would supply an extra 4 million tonnes, or more than 60 cargoes, to Japan over the next 12 months, traders said on Monday, possibly diverting supplies from Europe.
Japan is battling to minimise power shortages in the aftermath of a devastating earthquake and subsequent tsunami in March that knocked out more than 9 gigawatts of nuclear power supply.

Saudi slashes oil output, says market oversupplied
KUWAIT, April 17 (Reuters) - Saudi Arabia's oil minister said on Sunday the kingdom had slashed output by 800,000 barrels per day in March due to oversupply, sending the strongest signal yet that OPEC will not act to quell soaring prices.
Consumers have urged the exporters' group to pump more crude to put a cap on oil, which surged to more than $127 a barrel this month, its highest level in 2 1/2 years amid unrest in North Africa and the Middle East.

Iran oil supply stable, payment talks ongoing: India
KUWAIT, April 17 (Reuters) - India continues to receive normal shipments of oil from Iran and discussions between the two countries are ongoing over how India will pay for its crude imports, the country's oil minister said on Sunday.
India has been searching for a permanent method to make payments to Iran for crude oil imports since its central bank scrapped a clearinghouse system in December.

Gold hits record on inflation fear; silver at 31-yr high
SINGAPORE, April 18 (Reuters) - Spot gold hit a record high and silver rose to a 31-year high on Monday, fuelled by concerns of rising inflation globally, and as a lingering euro zone sovereign debt crisis continued to boost safe-haven demand in precious metals. 
"It wouldn't be a surprise to see gold push higher in the   current environment," said Darren Heathcote, head of trading at   Investec Australia, adding that investors were concerned about   inflation, especially when oil prices remain high.

Copper ticks up; China policy eyed, technicals point higher
SINGAPORE, April 18 (Reuters) - Copper prices reversed early losses on Monday, focusing on a more positive technical outlook, with some in the market viewing Sunday's reserve ratio hike as a step closer to the end of the monetary tightening cycle in China.
"Each time China raises rates, the market reacts less and less. The level of inflation is still of great concern, but each increases in interest rates and ratios takes us closer to the end of the tightening cycle," said a trader in Hong Kong.

Tokyo Steel leaves all prices unchanged in May
TOKYO, April 18 (Reuters) - Tokyo Steel Manufacturing Co , Japan's biggest construction steel maker, said on Monday it would leave its steel prices for May shipments unchanged from April, the second month in a row that prices have been kept steady.
Last month's devastating earthquake and tsunami in northeastern Japan crippled production for many manufacturers,  disrupted supply chains, delayed public works and other construction projects and resulted in less capital spending.

U.S. corn falls half pct on Goldman view, wheat steady
SINGAPORE, April 18 (Reuters) - U.S. corn futures slid around half a percent on Monday, losing more ground after last week's selloff as downbeat outlook from Goldman Sachs and substitution of corn in favour of wheat weighed on the market.
"In the corn market, we expect profit-taking to go on and also there is speculation that animal feed makers are using feed wheat as a substitute for corn," Ker Chung Yang, an analyst at Phillip Futures in Singapore.

La Nina to bring rains to Vietnam early this year
HANOI, April 18 (Reuters) - The rainy season will arrive in Vietnam's Central Highlands coffee belt and in the southern region that includes the Mekong Delta food basket later this month, which is earlier than usual, a state-run newspaper reported on Monday.
Early rains could help ease extensive dry conditions now facing the Central Highlands, which produces 80 percent of the coffee output in the world's second-largest producer of the commodity after Brazil.

Tight corn stocks boost prices for early cut crops
CHICAGO, April 15 (Reuters) - U.S. grain exporters are scrambling to book corn for August and September shipment to ensure they don't run out of the grain at a time when stocks are fall to their tightest level since the 1930s.
Trade sources said exporters are bidding to buy corn at the highest basis values in at least 15 years for August shipment, the end of the 2010/11 season when stocks are expected to be at 675 million bushels -- an 18 day supply -- in top corn exporter, the United States.

20110418 1744 FKLI EOD Daily Chart Study.

FKLI closed : 1520.5 changed : +1.5 points, volume : higher.
Bollinger band reading : side way range bound.
MACD Histrogram : falling lower, seller in control.
Support : 1515, 1500, 1485, 1470 level.
Resistance : 1530, 1540, 1550, 1565 level.
Comment :
FKLI closed recorded marginal gain with better volume transacted doing about 7.5 points discount compare to cash market while Asia markets ended mostly lower and European markets currently trading lower. News wise, China raised bank reserve requirement again to curb accelerating inflation.
Daily chart formed a doji bar candle with long upper shadow positioned in between middle and lower Bollinger band after market opened little higher, shoot up tested middle Bollinger band resistance level before retreating downward all the way to closed at opening price surrendered earlier gains.
Chart reading remained suggesting a side way range bound market development testing support and resistance level.
When to buy : buy at support or weakness with quick cut loss and profit target.
When to sell : sell at resistant or strength with quick cut loss and profit target. 

20110418 1118 Global Market & Commodities Related News.

GLOBAL MARKETS: Stocks take China tightening in stride
HONG KONG, April 18 (Reuters) - Shares in Asia's developed markets edged up as investors bet that China's latest round of policy tightening would not derail hopes of a sustained economic recovery, while the high-yielding Kiwi dollar fell nearly a percent after inflation data.     
"The market will probably open carefully today as it's near a record high, and positive momentum currently is a bit weak with China's policy moves," said Kim Soo-young, a market analyst at KB Investment & Securities.   

OIL: Crude lower toward $109/bbl after 3-day gains
TOKYO, April 18 (Reuters) - U.S. crude futures headed lower on Monday towards $109 a barrel, after three days of gains, despite comments by Saudi Arabia confirming a cut in crude production to counter an oversupplied market.
Saudi Arabia's oil minister said on Sunday the kingdom had slashed output by 800,000 barrels per day in March due to oversupply, sending the strongest signal yet that OPEC will not act to quell soaring prices.

NATURAL GAS: Natgas ends choppy day easier on mild forecast
NEW YORK, April 15 (Reuters) - U.S. natural gas futures ended down slightly on Friday in a seesaw session, with short covering and firmer cash prices ahead of a cool weekend offset by milder Northeast and Midwest weather expected next week.
"I think the market was consolidating today after recent gains. We could move higher on concerns about upcoming heat and hurricanes, but it's going to be choppy," a southern-based commodity trading advisor said, noting temperatures were gradually warming to levels that will slow overall demand.

EURO COAL: Euro Coal-Prices rise slightly with oil, gas
LONDON, April 15 (Reuters) - Physical coal and coal swaps rose by around 25 U.S. cents to $1.00 on Friday, in line with stronger oil prices and boosted by a statement by German Chancellor Angela Merkel on nuclear power which was long-term bullish for coal.
"I'm still extremely bearish as far as European coal is concerned but the whole energy complex was stronger today and coal had to follow," one European trader said.
COMMODITIES: Gold at record, oil up despite Goldman
NEW YORK, April 15 (Reuters) - Gold hit record highs on Friday on inflation worries sparked by costlier commodities, and oil rose as well, bucking calls from influential trader Goldman Sachs for a sell-off.
"The big elephant in the room is Goldman and ... it appears Goldman has lost their bull flavor," said Don Roose, grains analyst at U.S. Commodities in Des Moines, Iowa. 

Saudi slashes oil output, says market oversupplied
KUWAIT, April 17 (Reuters) - Saudi Arabia's oil minister said on Sunday the kingdom had slashed output by 800,000 barrels per day in March due to oversupply, sending the strongest signal yet that OPEC will not act to quell soaring prices.
Consumers have urged the exporters' group to pump more crude to put a cap on oil, which surged to more than $127 a barrel this month, its highest level in 2 1/2 years amid unrest in North Africa and the Middle East.

Iran oil supply stable, payment talks ongoing: India
KUWAIT, April 17 (Reuters) - India continues to receive normal shipments of oil from Iran and discussions between the two countries are ongoing over how India will pay for its crude imports, the country's oil minister said on Sunday.
India has been searching for a permanent method to make payments to Iran for crude oil imports since its central bank scrapped a clearinghouse system in December.

20110418 1033 Global Economic Related News.

Global: Zoellick says world economy one shock away from food crisis
World Bank President Robert Zoellick said the global economy is “one shock away” from a crisis in food supplies and prices. Zoellick estimated 44m people have fallen into poverty due to rising food prices in the past year, and a 10% increase in the food price index would send 10m more people into poverty. The United Nations Food Price index jumped 25% last year, the second steepest increase since 1991, and surged to a record in February. (Bloomberg)

US: Home sales, construction probably rose
March increases in home sales and construction probably failed to make up for the ground lost the prior month, showing the US residential real estate market continues to struggle almost 2 years into the economic recovery. Purchases of existing homes rose 2.5% to a 5m annual rate after dropping 9.6% in February, according to Bloomberg survey. (Bloomberg)

US: Yields fall most in 11 months on Europe, cooling inflation
Treasuries gained, pushing 2-year and 10-year yields down the most in 11 months, as US inflation cooled and speculation rose that Europe’s debt crisis is worsening. US notes rose for the first week in a month as President Barack Obama pledged to cut deficit by USD4trn within 12 years. (Bloomberg)

U.S: Consumer sentiment rose more than forecast in April, indicating job gains are helping Americans cope with rising fuel costs. The Thomson Reuters/University of Michigan preliminary index of consumer sentiment rose to 69.6, higher than forecast, from March's 67.5 reading that was the lowest since November 2009. (Source: Bloomberg)

U.S: Industrial production increases more than forecast in March. Output rose 0.8% MoM, the fifth straight gain, after a revised 0.1% MoM rise in February. Manufacturing, which makes up 75% of the total, climbed 0.7% MoM following a 0.6% MoM increase. Utility output and mining also rose. (Source: Bloomberg)

E.U: Inflation in March accelerated more than previously estimated. Inflation in the 17-nation euro region quickened to 2.7% YoY from 2.4% YoY in February, the European Union's statistics office in Luxembourg said. That's above an initial March estimate of 2.6% YoY and the fastest since October 2008. (Source: Bloomberg)

EU: Euro drops most since Nov 2010 on concern debt crisis worsening
The euro fell the most since Nov 2010 against the yen and dropped from a 15-month high versus the dollar on concern a bailout for Greece may fail to prevent the first default by a country in the 17-nation currency region. Euro fell 2.3% and 0.4% respectively to JPY119.96 and USD1.44 yesterday. (Bloomberg)

Ireland: Credit rating was cut two levels by Moody's to the lowest investment grade as the government struggles to lower the budget deficit and restore economic growth. Moody's reduced the rating to Baa3 from Baa1, leaving the country's outlook on negative, according to an emailed statement. That's the same rating as Iceland, Tunisia, Romania and Brazil. Standard & Poor's on April 1 cut Ireland's rating one level to BBB+ with a stable outlook. (Source: Bloomberg)

Greece: Plans USD 110b in cuts, asset sales to slash debt. Greece will enact EUR 26b in deficit cuts and EUR 50b in asset sales through 2015, the Finance Ministry said. The measures will cut the deficit to near 1% of gross domestic product by 2015, from a targeted 7.4% this year, Finance Minister George Papaconstantinou said. (Source: Bloomberg)

China: More tightening ahead after raising reserve ratio
China increased banks’ reserve requirements to lock up cash and cool inflation, and central bank Governor Zhou Xiaochuan said monetary tightening will continue for “some time”. Reserve ratios will rise a half point from 21 April, pushing the requirement to a record 20.5%. (Bloomberg)

India: Inflation accelerated more than economists estimated in March as the cost of fuel and manufactured goods rose, putting pressure on policy makers to raise interest rates in Asia's third-largest economy. The benchmark wholesale-price index rose 8.98% YoY after an 8.31% YoY gain in February, the commerce ministry said in a statement in New Delhi. (Source: Bloomberg)

Taiwan: Approved property and luxury taxes after home prices surged to a record and the government said demand for costly goods is stoking inflation. A 15% tax will apply to commercial and residential investment properties sold within a year of purchase and 10% to those sold within two years, the Ministry of Finance said in a statement on its website. A 10% tax will apply to sales of luxury goods such as yachts and airplanes worth at least NTD3m (USD103,352), and furs and furniture valued at NTD500,000 or more, it said. (Source: Bloomberg)

Singapore: Retail sales fell in February as purchases of motor vehicles plunged and consumers spent less on food and clothing. The index measuring purchases excluding automobiles fell 3.5% YoY after gaining a revised 16% YoY in January, the Statistics Department said in a statement. Including vehicles, which are sold subject to
government caps, total retail sales dropped 12.1% YoY. (Source: Bloomberg)

Philippines: Remittance rose at the slowest pace in 10 months in February as political unrest in the Middle East threatened earnings of nannies and engineers working overseas. The funds increased 6.2% YoY to USD1.5b, the central bank said in a statement in Manila. Remittances grew 7.6% YoY in January. (Source: Bloomberg)

20110418 1032 Malaysia Corporate Related News.

  KLCI chart reading :
correction range bound upside biased.

Iskandar Malaysia to get RM1.2bn inter-city commuter train
The Iskandar Regional Development Authority (IRDA) has given the go-ahead for the proposed RM1.23bn modern inter-city commuter train service network in Iskandar Malaysia. The train service will have an annual ridership of over 30 million. Metropolitan Commuter Network Sdn Bhd, a tie-up between KUB Malaysia Bhd and Malaysia Steel Works (KL) Bhd, will undertake the job.(Malaysian Reserve)

HTC will launch 2 smartphones by mid-year
HTC Corp, one of the fastest growing companies in the mobile industry, will launch another five smartphones this second quarter, according to vice president for Asia region Jack Tong. The company has launched two smartphones, namely HTC Desire S and HTC Flyer tablet, prior to its partnership with Maxis Bhd, he told reporters after signing a memorandum of understanding (MoU) with Maxis on Friday.(StarBiz)

Debit card usage set to surge
The debit card market, which has played a second fiddle in terms of popularity to credit cards, is expected to see a 50% to 0% growth in terms of usage this year as a result of stricter credit card measures aimed at reducing household debts. Introduced in 2005, debit card usage in 2010 has grown by 68% y-o-y to approximately RM4.7bn. (StarBiz)

New shareholder for Extol
ACE Market-listed Extol MSC may get a new lease of life with the recent entry of a new shareholder in the lossmaking company. Last week, Mohd Badaruddin Masodi emerged as a substantial shareholder after acquiring 10.2 million shares, or a 9.76% stake in Extol, becoming its fourth largest shareholder. Newly-appointed CEO Lim Chew Hian ceased to be a substantial shareholder in the company after disposing of her entire shareholding of 8.7 million shares at 19 sen apiece. (Financial Daily)

Petrol One aims to return to profitability
Petrol One Resources Bhd, formerly known as Changhuat Corp Bhd, aims to be back in the black by FY12 ending 30 June on the back of more contracts as it expands its floating oil storage business. Speaking to the Edge Financial Daily recently, Petrol One executive director Lee Wei Hong said the company expected to own five very large crude carriers (VLCC’s) by FY12, starting with the acquisition of two vessels by 3Q 11. (Financial Daily)

Malakoff mulls placement of minority stake to foreigner
Malaysia’s largest independent power producer (IPP) Malakoff Corp Bhd is considering a placement of a minority stake to foreign investors(s), which could then be followed by a possible re-listing exercise on Bursa Malaysia. Currently, the company is owned by MMC Corp Bhd, the Employees Provident Fund Board (EPF) and Kumpulan Wang Persaraan (KWAP), with 51%, 30% and 19% stakes, respectively. (Malaysian Reserve)

UDA Holdings to find JV partner by end-2Q
UDA Holdings is looking to finalise its joint venture partner for the RM5bn redevelopment project of the former Pudu Prison site, located in the heart of Kuala Lumpur, by end of the second quarter this year. Managing director Datuk Jaafar Abu Hassan said UDA Holdings will start the ground development by the fourth quarter of 2011. (Malaysian Reserve)

TM allocates RM100m for upgrade, network migration in Sarawak
Telekom Malaysia Bhd (TM) has allocated over RM100m annually, for network migration and upgrading in Sarawak, which will involve massive investment in core network, backbone fibre transmission network and local access distribution network. In addition, as part of the National Broadband Initiative, which seeks to enhance broadband access to more people in the country, TMM is continuing its efforts to bring broadband to the greater community in Sarawak. (Malaysian Reserve)

Proton: Secures financing for Lotus turnaround. Lotus Cars Ltd, a wholly-owned subsidiary of Proton Holdings Bhd, has secured GBP270m (RM1.33b) in financing for its turnaround plan where it hopes to break even in 2014. (Source: Bursa Malaysia)

Alam Maritim: Firms agree on Sabah venture. Alam Maritim (M) Sdn Bhd, a wholly-owned unit of Alam Maritim Resources Bhd, has signed a joint venture and shareholders' agreement with Yayasan Sabah Shipping Sdn Bhd to participate in the economic and commercial activities in Sabah, particularly in the oil and gas industry. (Source: Bursa Malaysia)

Media: TV stations going digital. The government may soon call a tender by way of a request for proposal (RFP) for the conversion of the analog to the digital system for all terrestrial television stations that could cost at least RM1b. The license allows successful bidders to provide digital TV transmission services to all free-to-air (FTA) terrestrial TV stations. (Source: Business Times)

Shipping: Consolidation seen. The global container market is poised to consolidate in the next few years as AP Moller Maersk and other major shippers roll out bigger vessels, potentially forcing smaller rivals to drop out of an already oversupplied market. (Source: The Star)

Rubber: Malaysia to expand rubber area. Malaysia will expand its rubber cultivation area to 1.2m ha by 2020 under the rubber industry development plan. The move would enhance national productivity up to 2,000kg per ha per year. (Source: The Star)   

Lotus Cards Ltd signs RM1.3bn deal for turnaround credit facility
Lotus Cards Ltd, a unit of national car producer Proton Holdings Bhd, signed an agreement for a GBP270mn (RM1.3bn) credit facility to be extended by a syndicate of six financial institutions. The six financial institutions, which will act as lenders, are CIMB Bank, Malayan Banking Bhd, Overseas-Chinese Banking Corp Ltd, Export- Import Bank of Malaysia Bhd, Afffin Bank Bhd and EON Bank Bhd. (Malaysian Reserve)

Jobstreet, MOHE to power new career portal
Online recruitment portal and the Ministry of Higher Education (MOHE) have embarked on a partner-ship to power the ministry’s career portal, which will help match internships and jobs sought by Malaysian Graduates. Named”!Nation Career Portal”, and MOHE signed a memorandum of understanding (MoU) to seal the partnership at the opening day of the Malaysia Career and Training Fair (MCTF) 2011 in Kuala Lumpur last Friday. (Malaysian Reserve)

20110418 1021 Global Market Related News.

 DJIA chart reading : correction range bound little upside biased.

 Hang Seng chart reading : correction range bound upside biased.

World's Poor ‘One Shock’ From Crisis as Food Prices Climb, Zoellick Says (Source: Bloomberg)
World Bank President Robert Zoellick said the global economy is “one shock away” from a crisis in food supplies and prices. Zoellick estimated 44 million people have fallen into poverty due to rising food prices in the past year, and a 10 percent increase in the food price index would send 10 million more people into poverty. The United Nations FAO Food Price index jumped 25 percent last year, the second-steepest increase since at least 1991, and surged to a record in February.

G20 eyes anti-crisis plan, mulls recovery risks
WASHINGTON, April 14 (Reuters) - The United States tried to instill confidence on Thursday that the global recovery was not at risk as finance leaders from around the world gathered to advance a plan aimed at preventing future economic crises.
As finance ministers and central bankers from the world's top economies who are aiming to find ways to shrink imbalances in order to foster sustainable growth wrapped up initial meetings on Thursday, the latest news underscored the problems faced.

Asia, Europe data point to mounting inflation risks
BEIJING, April 15 (Reuters) - China and India reported higher-than-expected inflation readings on Friday, giving fresh ammunition to central bankers and investors alike who are worried about mounting price pressures in the global economy.
Consumer prices in the euro zone also picked up more than expected, while figures due later in the day from the United States are expected to show a similar trend, with the inflation rate still moderate but steadily rising, not least because of higher food and energy costs.

Stocks poised for first weekly drop in a month, euro eases
HONG KONG, April 15 (Reuters) - Asian shares were poised for their first weekly loss in a month on Friday as investors took profits after a recent rally, while a pick-up in inflationary pressures in China and elsewhere sent gold racing to yet another record high on Friday.  "The weakness in markets this week is expected after the smart comeback we have seen recently, with inflationary concerns again coming to the forefront," said Jan Lambregts, global head of financial markets research at Rabobank.

Gains in U.S. Home Sales, Starts Probably Failed to Make Up Lost Ground (Source: Bloomberg)
March increases in home sales and construction probably failed to make up for the ground lost the prior month, showing the U.S. residential real estate market continues to struggle almost two years into the economic recovery, economists said before reports this week. Purchases of existing homes rose 2.5 percent to a 5 million annual rate after dropping 9.6 percent in February, according to the median forecast of 60 economists surveyed by Bloomberg News. Another report may show builders began work last month on 8.6 percent more houses following a 23 percent plunge.

Let Bush-Era Tax Cuts Expire, Return to Clinton Tax Rates, Greenspan Says (Source: Bloomberg)
Former Federal Reserve Chairman Alan Greenspan said tax cuts put in place by former U.S. President George W. Bush should be allowed to expire and the U.S. should return to tax rates that were in effect under former President Bill Clinton to help address the budget deficit. We should “allow the Bush tax cuts to expire,” Greenspan said on NBC’s “Meet the Press” today, calling the economic crisis “imminent and dire.” We should “put the rates back to where they were during the Clinton administration,” he said. Greenspan said it will be hard to rein in the budget deficit because data show that if a disproportionate amount of the change come from tax increases “it won’t work,” while the impact of cutting back on spending is “almost insignificant.”

Zhou Pledges More Tightening as China Raises Reserve Ratios (Source: Bloomberg)
China increased banks’ reserve requirements to lock up cash and cool inflation, and central bank Governor Zhou Xiaochuan said monetary tightening will continue for “some time.”

China Tells Banks to Boost Reserves as Prices Surge (Source: Bloomberg)
China increased banks’ reserve requirements to lock up cash and limit inflation after economic growth exceeded forecasts and consumer prices rose by the most since 2008. Reserve ratios will rise a half point from April 21, the People’s Bank of China said in a one-sentence statement on its website today. The move, taking the requirement to 20.5 percent for the nation’s biggest lenders, came less than two weeks after the central bank boosted benchmark interest rates.

China Raises Bank Reserve Ratio for Fourth Time in 2011 to Curb Inflation (Source: Bloomberg)
China raised banks’ reserve requirements to lock up cash and limit inflation after economic growth exceeded forecasts and consumer prices rose by the most since 2008. Reserve ratios will increase a half point from April 21, the People’s Bank of China said on its website today. The move, taking the requirement to 20.5 percent for the nation’s biggest lenders, came less than two weeks after the central bank boosted benchmark interest rates.

Japanese Stocks Gain on U.S. Consumer Confidence, Manufacturing (Source: Bloomberg)
Japanese stocks dropped after China raised banks’ reserve requirements, limiting growth in Japan’s biggest overseas market.

N.Z. Dollar Slides Most in Four Weeks After Inflation Report (Source: Bloomberg)
New Zealand’s dollar fell the most in four weeks against the U.S. currency after a government report showed consumer prices rose less last quarter than economists forecast. The so-called kiwi fell versus all its major counterparts as traders cut bets on the amount of interest-rate increases they expect from the Reserve Bank of New Zealand over the next 12 months. Australia’s dollar dropped for the first time in four days against the greenback after China increased banks’ reserve requirements, spurring concern the Asian nation’s government will take more measures to cool growth.

New Zealand’s dollar fell the most in four weeks against the U.S. currency after a government report showed consumer prices rose less last quarter than economists forecast. (Source: Bloomberg)
The so-called kiwi fell versus all its major counterparts as traders cut bets on the amount of interest-rate increases they expect from the Reserve Bank of New Zealand over the next 12 months. Australia’s dollar dropped for the first time in four days against the greenback after China increased banks’ reserve requirements, spurring concern the Asian nation’s government will take more measures to cool growth.

Tighter Monetary Policy Likely as Europe Fights Price Pressure, Weber Says (Source: Bloomberg)
Bundesbank President Axel Weber said today that European price pressures have increased significantly and that tighter monetary policy can be expected. Weber, who is a European Central Bank governing council member, told reporters in Washington that the ECB “countered” inflationary pressure with its interest-rate increase April 7. “We see a significant increase in inflationary pressure,” Weber said. “We’re still of the opinion that the current monetary policy stance at an interest rate level of 125 basis points continues to be supportive of the economy and expansive.” A basis point is 0.01 percentage point.

Euro Falls Versus Dollar, Yen on Concern Sovereign Debt Crisis Worsening (Source: Bloomberg)
The euro weakened against the dollar and the yen on speculation Greece will be unable to avoid a default as the region’s debt crisis shows signs of worsening. The euro dropped to $1.4395 as of 8:54 a.m. in Tokyo from $1.4430 last week in New York. The single currency fell 0.3 percent to 119.64 yen.

FOREX-Euro slides on Ireland, Greece restructuring talk
NEW YORK, April 15 (Reuters) - The euro slid on Friday after Moody's cut Ireland's rating to just above 'junk' status, keeping the currency's debt problems in focus, though it remained underpinned by expectations for further interest rate rises.
Also helping limit losses especially against the U.S. dollar was a widely-held view U.S. interest rates will stay low for some time. Several top Federal Reserve officials have sounded relaxed about inflation and data on Friday supported that.

20110418 1015 Global Commodities Related News.

Corn (Source: CME)
US corn futures finish mixed as old-crop contracts slide to a 2-week low. After setting a fresh all-time record of $7.83 3/4 on Monday, the market has been dragged lower this week by profit-taking and pressure from other commodities due to worries about the global economy and demand. Meanwhile, new-crop contracts managed to shrug off the pressure that nearby contracts faced. A number of weather concerns raise the threat of planting delays, which is underpinning new crop contracts, says Sterling Smith with St. Paul brokerage Country Hedging. Corn for May delivery, the most actively traded contract, ended down 1.6% at $7.42/bushel on the CBOT while new-crop December rose 1/2c to $6.56.

Wheat (Source: CME)
US wheat futures end mostly higher, with Chicago wheat futures leading the gains on ideas of increased soft red winter wheat feeding as corn crept above CBOT wheat for the first time in 15 years this week. The potential for increased wheat feeding and end-of-week risk reduction allowed futures to shake off pressure from wet weather expected to improve winter wheat crop ratings in the Plains, said Chad Henderson from Prime Ag Consulting. CBOT May wheat rose 3 3/4c to $7.44 1/4 a bushel.

Rice (Source: CME)
US rough rice futures end lower, backpedaling from earlier gains as traders reduced risk exposure ahead of the weekend. The market's losses were limited by solid export demand reported Thursday and concerns about dryness adversely impacting rice crops in Texas, analysts said. CBOT May rice settled 3c lower at $13.63 1/2 a bushel.

U.S. wheat rises, corn steady on supply concerns
SINGAPORE, April 15 (Reuters) - U.S. wheat futures rose around half a percent and  corn was steady, with tight supplies and broad-based strength across commodities continuing to support grains.  "We have seen a firmer open in the grains and oilseed complex which is correlating with a firmer open in the crude oil market as well," said Luke Mathews, a commodity strategist with Commonwealth Bank of Australia in Sydney.

Ukraine to double grain exports to 23.4 mln T 11/12
KIEV, April 15 (Reuters) - A jump in Ukraine's 2011 grain harvest and high stocks will allow the ex-Soviet republic to boost exports to 23.36 million tonnes in 2011/12 from about 11 million in 2010/11, analyst UkrAgroConsult said on Friday.
The consultancy, which previously forecast the export of 21.51 million tonnes next season, said in a report that it predicted higher exports of wheat and maize but expected a smaller export of barley.

India rice, soybean areas seen receiving good rains
PUNE, India, April 15 (Reuters) - Rice and soybean growing areas of southern and central India could receive above-normal to normal monsoon rains in 2011, sources attending a global weather meeting said on Friday, but cane and corn growing areas could see below-normal rainfall.
The monsoon is crucial for Asia's third-largest economy and a bad season can force the country into the international markets as a foodstuffs buyer, pushing up global prices. Good rains can boost its exports, helping governments throughout Asia to battle food inflation. . 

Cocoa steady after grind data; coffee rises
Cocoa prices were steady after first-quarter grindings rose in Malaysia, North America and Europe, as cocoa processors utilised capacity around the world to compensate for the lost capacity in Ivory Coast. Below are highlights for the cocoa, coffee and sugar markets. Arabica coffee futures on ICE strengthened in early trade as a shortage of high quality beans helped prices edge toward the 34-year high hit in March.

Ivory Coast lifts ban on cocoa exports, taxes
ABIDJAN, April 14 (Reuters) - Ivory Coast's President Alassane Ouattara formally lifted a nearly three-month ban on cocoa and coffee exports as well as on related tax payments, his television channel said on Thursday.
"The president of the republic orders that the measures suspending coffee and cocoa exports as well as tax payments be lifted," TCI television said.

Crushing of Brazil cane crop spreads, yields up
SAO PAULO, April 14 (Reuters) - Ninety mills have begun crushing Brazil's 2011/12 cane crop (April-March), industry association Unica said Thursday, adding that about 200 more are expected to begin operating over the next few weeks.
A year ago, the number of mills working was much higher as there were 60 million tonnes of cane left uncut from the previous cycle that were ready to be harvested.

Malaysian cocoa grindings up 10.8 pct in Q1
JAKARTA, April 15 (Reuters) - Cocoa grindings in Malaysia, Asia's largest grinder, rose 10.8 percent in the first quarter of 2011 from a year before, the Malaysian Cocoa Board said on Friday, similar to gains in North America and Germany.Fears that unrest in Ivory Coast could disrupt the supply of beans gave a boost to grinders in Asia, Europe and North America earlier this year, with chocolate makers also stocking up ahead of the Easter holiday.

Regulators outline commodities market crackdown
LONDON, April 15 (Reuters) - Global regulators unveiled plans on Friday to tighten supervision of commodities markets but said there was still no evidence to pin price swings on speculators.
The International Organisation of Securities Commissions (IOSCO) published a list of draft actions it will finalise for a meeting of finance ministers from the world's top 20 economies (G20) to endorse in October for global implementation.

Hoenig: Fed Stimulus Policies Exacerbate Ag Commodity Inflation (Source: CME)
Government efforts to stimulate the economy are complicating agricultural commodity markets' ability to respond to supply shocks, Federal Reserve Bank of Kansas City President Thomas Hoenig said. Hoenig, an outspoken critic of the Fed's efforts to pump money into the economy, acknowledged that agricultural commodity prices are driven by factors such as weather and technology, but said Fed policies are also fueling "the inflationary impulse." Crop and livestock prices have soared since last summer, thanks in part to lackluster crops around the world and continued demand growth. Corn prices hit an all-time high this week at the Chicago Board of Trade. Farmland prices are also up sharply throughout the Midwest, and Hoenig remains concerned that low interest rates and increased liquidity are pushing those prices higher and building a bubble. "We can extend the boom, and make the bust more difficult," Hoenig said at a panel discussion on food prices at Purdue University.
He said that interest rates can't stay near zero forever, and that investment in farmland is "gambling." Hoenig also said that worries about inflation should extend beyond the core Consumer Price Index, which doesn't include food or energy. "I think it is an error to look at just core inflation, except for a very short period of time," he said. Hoenig added that he sees no risk in the foreseeable future that the U.S. dollar would be unseated as the world's reserve currency, citing the importance of the U.S. economy and absence of an alternative.

China 2011 Grain Area 110.3 Mln Hectares, Up 0.4% On Year (Source: CME)
China's grain area this year will reach about 110.3 million hectares, up 400,000 hectares, or 0.4%, from 2010, the National Bureau of Statistics said. Area under summer grains, including wheat and rapeseed, is expected to increase by 50,000 hectares to 27.5 million hectares, said Sheng Laiyun, a spokesman with the bureau. The survey is based on more than 70,000 farming households nationwide, he said. In the first quarter of this year, meat output increased 1.8% from a year earlier to 21.4 million metric tons. Pork output was up 1.7% to 14.5 million tons.

EU Soft Wheat Export Licenses Rise 198,000 Tons On Week (Source: CME)
European Union licenses to export soft wheat increased 198,000 metric tons for the week ended April 12, E.U. data showed. This takes total EU wheat exports, 41 weeks into the 2010-11 marketing year, to 15.9 million tons, up 13% from 14.1 tons million over the same period the previous year. EU total grain exports increased 367,000 tons on the week to 23.4 million tons for the year so far, compared with 17.8 million tons over the same period the previous year. EU wheat imports, 41 weeks into the marketing year, increased 31,000 tons on the week to 1.82 million tons compared with 2.76 million tons over the same period the previous year. Total grain imports to date are 9.98 million tons, compared with 6.68 million tons in the previous year.

India To Add 4 Mln Tons Grain Storage Capacity By March 2012 (Source: CME)
India plans to ramp up its grain storage capacity by 4 million tons by the end of the fiscal year through March 2012, the chairman of state-run Food Corp. of India said, as granaries are overflowing after two successive good harvests. Siraj Hussain said the country is aiming to add a total capacity of 15 million tons over the next two years, which is likely to take care of storage needs until 2017. India's current grain storage capacity is 43.56 million tons. Food Corp. is the federal government's main grain procurement agency. The government is aiming to procure 26 million tons of wheat in the marketing year through June, which is 15% more than last year, as the country is expecting a record crop of 84.27 million tons in 2010-11. This could mean that the government will have to store some quantity in the open, putting it at risk from rain or other extreme weather conditions.
Nearly 6,000 tons of wheat was damaged in the 2010-11 fiscal year due to heavy showers and other rough weather conditions, Hussain said. Harvest of the new wheat crop in the northern grain bowl states of Punjab and Haryana started on March 15 and is likely to peak by the end of April. Wheat is sown in the winter months of October-November and good rain as well as high state-fixed minimum price for wheat encouraged farmers to sow more of the staple. The government has approved a one-time bonus of INR500/ton for farmers, over and above the minimum state-fixed purchase price of INR11,200/ton to build stocks as it is planning a law that will widen subsidized grain sales to the poor, two food ministry officials said. "The state governments of Punjab and Haryana have been asked to ensure safe storage of wheat...We will also move some wheat stocks [from key producing regions] so that there is no choking of grain stocks," Food Corp.'s Hussain said.
The government plans to add storage space of 5.12 million tons in Punjab and 3.88 million tons in Haryana in the next two years, he added. Grain stocks with Food Corp. swelled to around 46 million tons as of March 1, which is more than double the requirement for state-run welfare programs. Trade officials have been lobbying the government to lift a four-year export ban on wheat to ease storage space.

Goldman Commodity View Subtler Than Just 'Sell' (Source: CME)
Commodity prices will dip in coming months before rebounding later this year, Goldman Sachs said in a research report, expanding its view after a recommendation to sell commodities earlier this week helped spark a broad market decline. In a weekly commodities report from the investment bank--which often moves markets with its recommendations to buy or sell--analysts provided a broader outlook on raw materials that suggested any short-term correction in commodities would be trumped by rising prices over the next year. Goldman expects gold, soybeans and grains to post gains heading into 2012 and sees a drop in copper stockpiles next year. Still, the bank cut its forecast for the return on commodities over the 12 months to 10% from 14.3%. "While we have lowered our near-term allocation recommendation based on expected returns, the role of commodities as a portfolio diversifier and inflation hedge increases its attractiveness in the current environment," analysts said.
The report provided nuance to the bank's commodity outlook after a brief update earlier in the week sent traders fleeing gold, grains, crude oil and other markets. In the recommendations released Monday, Goldman suggested clients sell a popular basket of commodities and said there were "nascent signs of oil demand destruction." The note--from a traditional bull on the oil market--followed reports from the Organization of Petroleum Exporting Countries and from the Paris-based International Energy Agency that also suggested demand was falling. "The Goldman note, on the day it was released, had a significant impact on prices," said Sean McGillivray, a broker with Great Pacific Wealth Management. "When Goldman says, 'Hey, we're pulling this off,' the headlines can create enough of a liquidation to move markets." Goldman wasn't immediately available for comment.

Goldman recommends underweight commodities for 3-6 months
SINGAPORE, April 15 (Reuters) - Goldman Sachs recommended investors go underweight commodities over a three to six month horizon, echoing its call from Monday, saying oil prices are higher than justified by current supply and demand.
The bank maintained an overweight recommendation for the sector over a 12-month horizon as fundamentals are expected to tighten over the next year.

Mexico Sees 5M-6M Tons Of Spring-Summer White Corn Hedged (Source: CME)
Mexico will hedge between 5 million and 6 million tons of white corn during the spring-summer harvest, contributing to a stabilization of prices, an official with the Agriculture Ministry's marketing service, said Aserca. The fall-winter cycle closed recently with 9 million tons of white corn hedged, said Cesar Ortega, director of financial markets for Aserca. The season's figure surpasses Aserca's goal of hedging at least 6.5 million tons during the period, when a majority of the country's white corn is produced. The Mexican service purchases futures options in Chicago for farmers, giving them certainty that their product will have a buyer and that prices will be stable. The international market for corn has been bullish, and high prices have contributed to a rise in the cost of tortillas in Mexico, which averaged 10.88 pesos ($0.93) per kilogram at tortilla shops on April 15, up from MXN9.81 at tortilla shops during the same week last year.
Freezes in February in the north of the country destroyed millions of tons of corn, but replanting efforts are expected to make up for some of the losses. Mexico now expects a 2011 production of 23.3 million tons, most of it white corn, down from initial expectations of 25 million tons. Aserca director Manuel Martinez de Leo said prices are expected to drop from this point forward. "The worst of prices is behind us," he said. He said the livestock industry has transferred at least 380,000 tons of white corn to be used for human consumption, to help cover production shortfalls. "Lots of corn that was in storage houses for animal consumption is going toward human consumption," said Martinez de Leo. Mexicans eat mostly white corn. The replanted corn crop in the northern state of Sinaloa, where a majority of the freeze damage occurred, is expected to be harvest in June instead of May. Imports arriving in May are expected to offset the temporary shortfall.
Commodity prices plummeted Monday and Tuesday on concerns that the high prices of raw materials were raising costs for businesses and consumers, and weighing on global economic growth. In the later report, Goldman analysts raised 12-month price forecasts for West Texas Intermediate and Brent crude-oil futures, reformulated gasoline, heating oil, Nymex natural gas, U.K. NBP natural gas, corn and cocoa from previous estimates released in late March. The most significant increase was in corn, which saw a 20% bump up in its one-year forecast from $5.80 a bushel to $7.00 a bushel. The bank increased its 12-month forecasts for WTI and Brent crude oil by 50 cents each, to $103.50 a barrel and $107 a barrel respectively.

China copper, aluminium output set for new record in April
HONG KONG, April 15 (Reuters) - China's copper and aluminium production are set for another record month in April, after a March surge, resulting from expanded capacity and rosy demand forecasts by producers.
China produced a record 470,000 tonnes of refined copper in March, up nearly 6 percent from a peak set in December 2010, data from the National Bureau of Statistics showed on Friday.

U.S. metal imports slow in Feb, Q2 recovery seen
NEW YORK, April 14 (Reuters) - Mother Nature's wrath likely had a hand in slowing U.S. imports of aluminum and copper in February, but if seasonal demand trends hold true, shipments should recover in the months ahead.
Data from the U.S. International Trade Commission on Tuesday showed copper imports fell for a third straight month in February to 50,494 tonnes.

China steel output may hit 700 ml T this yr -NDRC
SHANGHAI, April 15 (Reuters) - China's crude steel output may hit 700 million tonnes this year on expectations of strong demand, the country's economy watchdog said on Thursday.
The National Development & Reform Commission (NDRC) gave the forecast in a statement on its website based on output figures released by the China Iron & Steel Association (CISA), mainly on behalf of China's medium- and large-sized steel mills.

China March steel output stayed high, outlook cautious
SHANGHAI, April 15 (Reuters) - Steel mills in China shrugged off overcapacity, higher interest rates, rising iron ore costs and narrow profit margins in March and focused on improving demand prospects to keep daily output near last month's record high.
Daily crude steel output in March fell slightly to 1.92 million tonnes, compared to 1.94 million tonnes a day in February, a Reuters calculation showed based on data from the National Bureau of Statistics released on Friday.

Zinc premiums hold steady, inventories jump
LONDON, April 15 (Reuters) - Premiums for physical zinc in Europe held steady this week, traders said, with demand little changed and a recent jump in stocks having little impact because the metal went into New Orleans, far from consumers' reach.
Zinc premiums  to the London Metal Exchange (LME) cash price  were at $110-130 a tonne this week, according to traders, unchanged from the previous week's quote.

Major market developments in March
LONDON, April 14 (Reuters) - Prices for battery material lead made some headway in March, helped by robust demand expectations, but the market is well supplied and may move lower in the near term.
"The lead price is rich at this level and we could see it back to $2,400," said Fastmarkets analyst Will Adams.

Tight supply, brisk demand to keep tin aloft
LONDON, April 15 (Reuters) - Tight supplies and resilient demand will keep tin prices high this year, despite the impact of the earthquake on big consumer Japan and increasing exports from Indonesia, a Reuters survey of metals analysts showed.
The consensus of 10 forecasts showed tin will average $30,285 per tonne, up from a forecast of $27,000 a tonne in a January survey.

Supply constraints point to uranium rebound
ZURICH, April 14 (Reuters) - Uranium prices and shares in uranium miners have fallen since Japan's Fukushima crisis clouded the future of nuclear energy, but these could rebound as uranium supplies are not enough to meet global demand, an industry executive said.
"Supply and demand fundamentals don't tell us we should be writing an obituary for the industry any time soon," Amir Adnani, Chief Executive of Amex-listed miner Uranium Energy Corp  told Reuters this week.

OMH to keep some HK listing funds for Malaysia smelter
KUALA LUMPUR, April 15 (Reuters) - Australia's OM Holdings (OMH)  will use some of the funds generated from a planned secondary listing in Hong Kong to finance a manganese and ferro silicon smelter in Malaysia's Borneo island state of Sarawak, its chief said on Friday.
The miner expects to spend up to $400 million to build the smelter with 600,000 tonnes of annual capacity in its quest to join BHP Billiton   and Vale  as top producers of the steel components.

METALS-Copper under pressure as inflation rises globally
LONDON, April 15 (Reuters) - Copper fell on Friday, heading for a fifth straight session of losses as investors worried Chinese inflation at a 32-month high would lead to tighter monetary policy hitting demand in the world's top metals buyer.
Chinese consumer price inflation sped to 5.4 percent in the year to March, the fastest since July 2008 and topping market forecasts for a 5.2 percent increase. Gross domestic product eased a touch in the world's top copper buyer.

PRECIOUS-Gold holds near record high on haven, inflation appeal
LONDON, April 15 (Reuters) - Gold held near record highs on Friday as euro zone sovereign debt concerns, worries over inflation and expectations U.S. interest rates will stay low all conspired to support the precious metal.
Gold and silver retreated a touch after a decision by rating agency Moody's to cut Ireland's debt rating to just above junk pressured the euro, but remain firmly underpinned. Silver is holding near its earlier 31-year high at $42.64.

Gold Climbs to Record on Concern Pace of Global Inflation Is Accelerating (Source: Bloomberg)
Gold advanced to a record for a third day as mounting inflation across the globe and Europe’s sovereign-debt crisis prompted investors to seek a store of value. Silver climbed to the highest price in 31 years.

Oil declined for the first time in four days in New York after Saudi Arabia, the world’s biggest exporter, said the global market has adequate crude supplies. (Source: Bloomberg)
Futures slipped as much as 0.5 percent after Saudi Arabia’s Oil Minister Ali al-Naimi said yesterday that the “market is oversupplied.” Crude fell 2.8 percent last week on speculation gains in prices, spurred by conflicts in the Middle East, will curb economic expansion. The World Bank said last month East Asia needs to tighten monetary policy and governments should let stimulus packages lapse.

20110418 1013 Soy Oil & Palm Oil Related News.

Soy Oil chart reading : side way range bound.

Soybeans (Source: CME)
US soybean futures end mixed, with nearby contracts stabilizing after a week of large declines. Traders viewed recent bearish news as adequately factored into prices. Traders reduced some risk exposure ahead of the weekend, with a fresh new crop export sale to China limiting losses in new crop futures, despite the threat of corn seeding delays leading to additional soy acres, analysts said. Soybeans for May delivery ended up 3/4 cents, or 0.06%, at $13.31 3/4 a bushel at CBOT. The New crop November contract dropped 5 1/2 cents or 0.4% at $13.39 3/4.

Soybean Meal/Oil (Source: CME)
Soy-product futures end higher, with soymeal continuing to rebound from prior losses on end-of-week position evening and a pickup in export demand. Soyoil ended lower, unable to shrug off weakness in world vegoil markets, despite a bounce in crude oil futures. CBOT May soymeal ended $2.70c or 0.8% higher at $345.70/short ton; May soyoil fell 0.05% to 56.84c/pound.

Snickers-Noodles Surge Drives Cooking-Oil Stocks to 1974 Low (Source: Bloomberg)
At a time when consumers are focused on near-record food costs after grain and meat prices surged, stockpiles of edible oils needed to make everything from noodles to fish sticks are dropping to a three-decade low. The combined stocks of nine oils will plunge 25 percent to 9.39 million metric tons this year, or about 23 days of demand, the fewest since 1974, the U.S. Department of Agriculture estimates. Palm oil prices will climb as much as 24 percent to 4,000 ringgit ($1,324) a ton by Dec. 31, based on the median in a Bloomberg survey of 11 analysts and traders. While the global population expanded 85 percent in the past four decades, consumption of edible oils increased almost ninefold as incomes rose, people moved to cities and demand for processed foods jumped. The World Instant Noodles Association says sales of the product invented in 1958 now exceed 90 billion servings a year.
The anticipated rally, which may quicken should flooding return to plantations, will stoke inflation that caused central banks from Brazil to China to raise interest rates.

Palm oil perks up after three days of losses
KUALA LUMPUR, April 15 (Reuters) - Malaysian palm oil rose after three days of losses due to strength in global commodity markets although uncertainty reigned over a cargo surveyor's estimate that pointed to a much steeper export decline.  "The markets rose a little as there was some concern that it has been oversold," said a trader with a foreign commodities brokerage.

Brazil soy harvest seen dry in final leg - Somar
SAO PAULO, April 14 (Reuters) - Brazil's main soybean belt is mostly clear and sunny, forecaster Somar said on Thursday, as the harvest of a record 70 million to 72 million tonne crop enters the final stretch.
But a burst of showers is due to push into the southernmost soy state Rio Grande do Sul starting Thursday, which could slow harvest in some areas of the No. 3 soy producer state, Somar said in a daily weather bulletin.

Argentine soy, corn output seen higher-exchange
BUENOS AIRES, April 14 (Reuters) - Argentina's 2010/11 soy harvest is expected to come in at 49.2 million tonnes, up from a previous prediction of 48.8 million tonnes, the Buenos Aires Grains Exchange said on Thursday.
"The harvest of the first plots in northwestern and northeastern parts of the country promises very high production," the weekly report said.

Brazil soy crop seen record 72.5 mln T - Safras
SAO PAULO, April 14 (Reuters) - Brazil's 2010/11 soybean crop forecast will likely be raised to a record 72 million to 72.5 million tonnes from 71.6 million tonnes seen in late March, Safras e Marcado consultants said on Thursday.
Losses due to excess rain in Mato Grosso do Sul and Goias ended up being less than estimated in Safras' latest forecast, released two weeks ago, said chief analyst Flavio Franca.