Soybean heads for 3% weekly gain on US demand hopes

Chicago soybean futures rose for a third consecutive session on Friday, on track for a weekly gain of more than 3%, supported by hopes for improved U.S. exports and expectations that the country’s biofuel policy would boost demand for soyoil. However, plentiful supply from South America and projections of a large U.S. harvest capped further gains. Corn futures also rose and were set to end the week up nearly 4% due to a wave of bargain-hunting and short-covering, though supply remains ample. Wheat climbed but was headed for a weekly loss of about 0.5% amid seasonal pressure from ongoing northern hemisphere harvests. The most active soybean contract on the Chicago Board of Trade (CBOT) was up 1.3% at $10.39-3/4 a bushel by 1119 GMT. A weaker dollar helped propel gains by making U.S. farm goods cheaper for overseas buyers. U.S. policies restricting the range of non-soy feedstocks that can be used to make biodiesel lifted soyoil, but beans will struggle to sustain a rally, said Tobin ...