July soybeans were trading 6 cents lower late in the overnight session. China futures were down slightly overnight. Palm oil futures in Malaysia were down 0.6%. Asian equity markets were higher overnight possibly as a catch up to the gains forged in US stocks on Tuesday. European markets were mostly higher and that was surprising considering that Euro zone jobless figures reached a fresh record high. US stock markets were showing a mixed early trade today, but it could take something positive from US data or from corporate earnings reports to countervail what feels like a minor early profit taking bias. There will be three Fed speeches throughout the trading session today and those speeches could provide surprise market reactions. There were 576 deliveries against May soybeans this morning bringing the total this month to 2,085. Oil deliveries this morning were 2,317 contracts. There were no meal deliveries for the third day in a row. Talk of the potentially tight outlook for the USDA supply/demand reports next week for both old crop and new crop seasons has helped to provide underlying support. The USDA tends to use the same acreage figure from the March intentions report and given the strong demand outlook due to the steep drop in production from South America, it will be difficult to assume a new crop ending stocks figure above 100 million bushels. Ending stocks have not been under 100 million bushels since the early 1970's. After a surge in buying in recent months from China, there are some concerns that China will shift to a more aggressive unloading of reserves onto the domestic market which could slow import demand. Talk of the overbought condition of the market and continued deliveries against the May contract helped to pressure the market overnight. July soybeans closed just a few cents lower on the session yesterday and well up from the mid-session lows while November soybeans closed sharply higher on the session and experienced the highest close since September 9th. December meal surged into new contract highs and closed $6.00 higher on the day. Grain traders view the weather outlook as bearish with periods of warm and wet weather over the next 10 days but not enough rain to cause flooding issues. Liquidation of old crop/new crop bull spreads helped to support the November contract yesterday. Persistent China buying helped to provide underlying support to limit the downside as the USDA confirmed the sale of 110,000 tonnes of US soybeans to China for the 2012/13 season.