Chicago Board of Trade (CBOT) soybean futures jumped over 3 percent at closing time on Tuesday, as short-covering and bargain buying temporarily offset the influence of escalating trade frictions between the United States and China.
The most active soybean contract for July delivery added 29 cents, or 3.61 percent to close at 8.315 dollars per bushel. July corn delivery was up 12.25 cents, or 3.44 percent to close at 3.6875 dollars per bushel. July wheat delivery was up 11.5 cents, or 2.63 percent to close at 4.485 dollars per bushel.
Soybean futures rebounded on short-covering, bargain buying after the most active contract hit the lowest in more than a decade on Monday on concerns about U.S.-China trade fictions.
Soybeans fell to contract low on Monday after China announced on Monday that it would raise the rate of additional tariffs imposed on some of the imported U.S. products from June 1.
The decision came after the U.S. move to increase tariffs on 200 billion dollars worth of Chinese goods from 10 percent to 25 percent as of May 10.
Corn and wheat futures also rose after the U.S. Department of Agriculture (USDA) late on Monday reported that the planting pace for corn and soybeans was slower than expected amid widespread weather delays.
U.S. farmers had seeded just 30 percent of their corn crop as of May 12, according to the USDA report.
The soybean crop was 9 percent planted, behind the five-year average of 29 percent and the average trade estimate of 15 percent.
