NCDEX soybean rises on firm demand in spot market

Soybean futures contracts rose on NCDEX due to firm demand for the commodity and higher prices in Indore.

The most active October contract was up 0.4% at 3,751 rupees per 100 kg.

Firm demand for soybean from oil millers and the delayed harvest due to continuous rains in the key growing areas in Madhya Pradesh contributed to the upside.

In Indore, prices rose 25-30 rupees to 3,800 rupees per 100 kg, as firm demand more than offset impact from a rise in arrivals.

Arrivals were pegged at 800 bags (1 bag = 100 kg), up 150-200 bags from Monday, said Mahendra Doshi, proprietor of Indore-based M.S. Corp.

Soybeans futures saw 6 1/4 to 6 1/2 cent losses in the front months on Tuesday. Soybean meal was down $1.10/ton, with soy oil 29 points lower.

USDA reported another private export sale of 260,000 MT of 19/20 soybeans to China this morning, the third in as many days and bringing the total to 720,000 MT.

USSEC indicated that China may be in the market for 1 to 3 MMT, not just the 600,000 MT rumored last Thursday. That said, they were buying ~30 MMT or more per year before the trade war.

NASS reported the percentage of US soybeans dropping leaves by week 37 was the lowest since at least 1985.

Condition were down 3 points in IL, 4 points in IN, 2 points lower in NE, and down 8 in MN on the Brugler500 index. They saw gains of 7 points in IA and MO.