Soybean prices hover near one-year highs

Soybean futures rose nearly one percent to near March 2, 2017 highs, even as the dollar index rebounded from December 17, 2014 lows for the fourth consecutive session, following earlier data from the US, and ahead of the Federal Reserve's last meeting minutes.

As of 06:37 GMT, soybean futures due on May 15 rose 0.87% to $10.465 from the opening of $10.375, while the dollar index added 0.13% to 89.84 from the opening of 89.72. 

Earlier US data showed positive flash readings for both manufacturing and services PMIs, while existing home sales fell unexpectedly in January. 

Investors now await the Federal Reserve's minutes of the January 30-31 meeting, at which policymakers votes to hold interest rates unchanged between 1.25% and 1.5%. 

Extremely dry weather in Argentina underpinned soybean prices today to near one-year highs amid negative output forecasts.  

Similarly, the US Department of Agriculture's report on harvest inspection stated that 960.07 thousand tonnes of soybeans have been inspected in the week ending February 15, below expectations of 1.09 million, and down from the previous reading's 1.34 million, with total inspected soybeans in the current marketing year starting last September reaching 34.7 million tonnes, compared to 42.7 million in the same period of last year. 

US soybean exports fell 13% so far this year, while productivity fell to 49.1 bushels per donam from 49.6 bushels.