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US soyabean futures rebounded on Wednesday, posting gains for the fifth session in six amid hopes that China would accelerate its purchases of US agricultural product following three days of trade talks with the United States this week. Corn also firmed as traders anticipated the grain would be among the goods next on Beijing's shopping list following recent goodwill purchases of US soyabeans over the past month.

Wheat, meanwhile, rose for a fifth straight session as rising prices in rival exporting countries such as Russia stoked expectations of a pickup in demand for US shipments. Spillover support from sharply higher crude oil prices and a weaker greenback, which makes dollar-denominated goods more attractive to buyers holding other currencies, offered further support to grains.

The market focused on positive comments from US officials after three days of talks in Beijing. The US Trade Representative's office said on Wednesday that China had pledged to purchase "a substantial amount" of agricultural, energy and manufactured goods and services from the United States.

China earlier this week approved five genetically-modified crops for import, the first in about 18 months, and booked another wave of US soyabean deals after effectively freezing purchases last summer. Chicago Board of Trade (CBOT) March soyabeans rose 4 cents to $9.22-1/2 a bushel by 11:13 a.m. CST (1713 GMT), while March corn gained 2-1/2 cents to $3.82-1/2 a bushel.

CBOT March wheat rose 4-1/4 cents to $5.22 a bushel after, nearing a three-week peak of $5.24-1/2 notched a day earlier. Wheat support stemmed from accelerated demand in the global marketplace, with rising Russian prices offering US exporters an opportunity to capture sales.

Copyright Reuters, 2019


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