Soybeans firm ahead of USDA data; weak China demand caps gains

Chicago soybeans rose on Wednesday as traders adjusted positions ahead of the release of official U.S. data on global supply and demand on Friday, the first update in weeks, though the absence of large-scale purchases by China kept a lid on prices. The most-active soybean contract on the Chicago Board of Trade (CBOT) gained 0.6% to $11.34 a bushel as of 0617 GMT. China has begun modest purchases of U.S. farm products after the leaders of the two countries met last month, but traders are awaiting major soybean deals after the White House said Beijing had pledged to buy 12 million tons by year-end. Chinese state trader COFCO’s oilseed unit said on Monday it has signed agreements to buy over $10 billion worth of Brazilian soybeans, soybean oil, palm oil and other agricultural products. The statement did not mention any U.S. purchases. At the same time China is grappling with a soybean supply glut and weak margins due to record imports in recent months, clouding prospects for large ...