Soybean futures advance amid concerns over Brazil’s harvest

Futures Pros – Soybean futures advanced on Thursday, snapping three days of declines on concern that heavy rainfalls in Brazil would cause flooding and delay the harvest.
On the Chicago Mercantile Exchange, soybean futures for May delivery traded at USD13.5450 a bushel during European morning trade, adding 0.18%.
It earlier rose to a daily high of USD13.5788 a bushel. 
Earlier in the day, Brazil’s National Institute of Meteorology said that the nation’s largest soybean-producing region, Mato Grasso, received as much as two inches of rain (5.1 centimeters) in the past 24 hours.
The rainy forecast added to lingering concerns that the nation’s soybean harvest would be delayed due to flooding, potentially hurting the quality of the crop.
Brazil is the world’s second largest soybean producer and the third biggest exporter of the grain.
Meanwhile, global financial service provider Societe Generale raised its forecast for global soybean consumption in 2011 to 269 million tons, 5.5% higher than a previous forecast. Global soybean output was expected to total 261 million tons, according to the lender.
“Soybean fundamentals are those likely to tighten most in 2011. We therefore see soybean prices as being more bullish as early as the second quarter, when tight prompt supplies and confirmation of subdued growth in US plantings combine,", SocGen said in a report.
Elsewhere, corn for May delivery eased up 0.02% to trade at USD6.8025 a bushel, while wheat for May delivery shed 0.12% to trade at USD7.1262 a bushel during European morning trade.

(Source: http://www.futurespros.com/news/grains-news/soybean-futures-advance-amid-concerns-over-brazil%E2%80%99s-harvest-1000009301)