Soyameal soars on Argentina crop woes, short covering

Chicago

US soyabean meal futures climbed to 18-month highs on Friday as short-covering and concerns about tightening exports from Argentina, the top shipper of the livestock feed, helped to fuel gains.

Soyabean and corn futures rose on spillover support from meal's rally, traders said, while wheat futures slipped under pressure from the strengthening US dollar. "It's no doubt a meal-led rally," said Don Roose, president of Iowa broker US Commodities.

Most-active soyameal futures have added 45 per cent since the start of April as heavy rains have threatened the size and quality of harvests in Argentina, which accounts for almost half of global meal exports. The market extended its recent gains as traders said they were worried exporters might not offer as much Argentine soyameal f…