The price of the CBoT soybeans is currently near its 2-year high. The speculators expect a dry summer in the U.S. soybean growing regions. The nervous operators in conjunction with a smaller supply from South America.
Yesterday was that the price on the CBoT by 3.2% compared to the previous day. Recorded the highest rates since June, 2014. The fear of the La Nina weather phenomenon is spreading and that drives the rally.
The USDA announced large soybean sales on the spot market the market for three days in a row what may be due to delivery problems in Argentina. There, the harvest is interrupted again and again since early April by massive rains.
China buyers turn around now on origins of the northern hemisphere. Yesterday, a sale was reported over 132,000 tons. That motivates the funds to cover themselves with other long positions. Yesterday, institutional investors should have bought alone 20,000 lots.
