Soybean: DCE No. 1 Soybean (A2607) traded rangebound with a slight firm bias, as limited stocks in Northeast China and drought concerns provided support, while potentially additional supply from auctions and weak off-season demand capped gains. CBOT soybeans fell on strong Brazilian exports, rapid U.S. planting, and fund liquidation, but downside was cushioned by weather risks and a relatively low USDA new-crop inventory forecast.
Edible Oil: The three vegetable oils collectively came under pressure amidst ample domestic supplies, rising inventories, and weak spot demand, but losses were limited thanks to support from rebounding crude oil (WTI above $90/bbl), firm RIN prices, and improving palm oil exports from Malaysia. Overall, the edible oils prices at DCE expected to remain soft in the short period.
Hog: China's hog prices moved lower as the traditional off-season remained in place and the inventory drawdown was not smooth, with the average ex-farm prices likely to edge down further.
Grain: Corn prices weakened overall with the continuous impacts from alternative feeds, and the wheat harvest prompted the traders to shift their focus away from corn. The corn prices are unlikely to significantly rebound in the near term.
Cotton: Domestic cotton prices trended lower on softening overseas prices amidst easing drought concerns in major cotton producing regions in the U.S., but downside was limited by solid planting cost in Xinjiang and slow crop progress.
