CBOT soybean futures closed higher on Wednesday, with the benchmark March contract rising 1.1% to settle at 1064.50 cents per bushel. The rally was supported by multiple factors: positive talks between Chinese and U.S. officials boosted market confidence in U.S. soybean export prospects, while a slow start to the South American soybean harvest (Brazil's harvest rate stands at 2.3%, below the five-year average) and drought conditions in parts of Argentina provided fundamental support. Although expectations of ample global supply continue to cap the upside, market attention has partly shifted away from earlier geopolitical tensions between the U.S. and Europe. In the short term, the market will continue to monitor weather conditions and harvest progress in South America, as well as upcoming details of U.S. biofuel policies. The main CBOT soybean contract is expected to seek direction within the range of 10501080 cents per bushel.