Data from the Commodity Futures Trading Commission (CFTC) regulator showed that managed money, a proxy for speculators, moved net long in New York-traded arabica futures and options over the week to August 18.
A net long means that the number of long positions, which benefit when prices rise, outnumbered short bets, which profit when prices fall, indicating bullish sentiment from speculators.
Two of the larger blots on Europe’s grain production picture faded a little when Germany revealed its wheat harvest had fallen less far than investors had expected, while the French corn crop showed rare, if marginal, improvement.
German farmers produced 26.38m tonnes of wheat this year, farm ministry data showed – a drop of 1.41m tonnes, but a far smaller decline than analysts had been expecting.
The forthcoming Brazilian soybean sowings season will defy earlier caution by seeing a ninth successive season of increase – although yield potential “could be compromised”.
The International Grains Council said forecast a rise of 3% in Brazil’s soybean area, on a harvested basis, for 2015-16, taking it to a fresh record high of 33m hectares.
U.S. soybeans fell on Wednesday on concern that Tuesday’s interest rate cuts may not be enough to stimulate growth in China, the world’s largest soybean importer. Corn and wheat rose, rebounding from losses on Tuesday. Soybean futures dropped to their lowest in over six years on Monday on worries about import demand as China’s economy falters, but rose in bargain-buying on Tuesday after China cut interest rates to spur growth. “We had seen a recovery on Tuesday after the Chinese government’s interest rate moves,
The forwards segment on National Commodity and Derivatives Exchange (NCDEX), the leading commodity exchange in India, has shown improved growth in July 2015 with 1044 tonnes of agricultural commodities traded. Additionally, 12 kg of gold was traded in the recently launched Gold Now forwards segment of the exchange.