U.S. soybean futures rise over 1 pct weekly on trade talks optimism

Chicago Board of Trade (CBOT) crop futures traded higher in the trading week ending on April 5, with soybeans adding over 1 percent, as the oil seeds were boosted by optimism over trade talks between the United States and China.

The most active corn for May delivery was up 6 cents, or 1.68 percent weekly, to settle at 3.625 dollars per bushel. May wheat was up 10 cents, or 2.18 percent, to close at 4.6775 dollars. May soybeans were up 14.75 cents, or 1.67 percent, to settle at 8.99 dollar per bushel.

China and the United States concluded in Washington the ninth round of high-level economic and trade talks which ran from Wednesday to Friday.

The two sides discussed the agreement text on technology transfer, protection of intellectual property rights, non-tariff measures, services industry, agriculture, trade balance and enforcement mechanism, and achieved new progress.

The two sides also decided to continue their consultations regarding the remaining issues through various effective means.

China has been the world’s top soybean buyer. Any positive development concerning the trade talks between the two sides will boost U.S. soybean prices.

The U.S. Department of Agriculture on Thursday said weekly soybean export sales totaled 1.992 million metric tons, topping a range of trade forecasts.

The report showed soybean export sales to China in the week were 1.7 million metric tons, up from zero the previous week.

CBOT corn futures end slightly higher on the week amid light fund short covering, ongoing excessive rainfall across the Central U.S. and net positive news surrounding U.S. and Chinese trade policy.

The corn market had hopes on Thursday that a deal could be finalized this week, but the details of a pact were delayed as both sides work on the final pact details.

CBOT wheat futures ended the week higher, with winter wheat contracts up over 10 cents. But however, the spring wheat futures remained weak, as official dada shows U.S. spring wheat stocks will be the largest in decades amid trend yields across the North and South Dakotas states and Minnesota state.

Moreover, concern over soft red wheat production and stocks is mounting as new soaking rain lies ahead for the Delta and Southern U.S. Midwest.