November soybeans were down 8 cents late in the overnight session. China futures were down 0.9% overnight, and palm oil futures in Malaysia were down 1.3%. While equity markets in Asia were mixed, stock indices in Europe were generally weaker. Early indications are that US equity markets will open higher. The US Dollar is moderately stronger against most of the major currencies this morning, although iy has lost ground to the Japanese Yen. Inspectors from the IMF, EU, and ECB will return to Greece this morning to look at that nation's progress with its austerity measures. Major US economic numbers to be released this morning include August Durable Goods at 7:30 AM and a private survey of mortgage applications. Fed Chairman Bernanke will give a speech after the close. Outside market forces look quieter today, and focus is shifting to the September stocks report for release Friday. The market will have to try to absorb increased harvest selling pressures in the next few weeks. For Firday's report. traders are looking for the September 1st stocks figure to be close to 225 million bushels, which would be even with the most recent supply/demand report update. November soybeans saw some strong gains early in the session yesterday, but the market failed to see much follow-through buying, and futures gave back much of the early gains late in the session. A sharp setback in the US dollar, surge higher in energy and equity markets and a jump in precious metals helped support strong buying early. Talk of the oversold condition of the market and follow-through technical buying from the strong close Monday added to the positive tone. The crop was only 5% harvested as of Sunday, which was lower than expected, and rains in the eastern Corn Belt are expected to keep harvest slow for a few more days. Crop conditions stayed at 53% good to excellent for the week. Relatively dry Midwest weather for the next week should spark an increase in harvest activity. Soybean oil receipts have been dropping recently with talk of increased bio-diesel usage. Egypt is tendering to buy 10,000-20,000 tonnes of soybean oil.
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