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SINGAPORE/HAMBURG - Chicago soybeans and corn rose on Monday, supported by expectations of purchases from China as U.S. President Donald Trump and Chinese President Xi Jinping are set to meet later this week.
Wheat and corn were also supported by firmer oil prices, which rose after the United States and Iran failed to reach a peace deal.
Chicago Board of Trade most-active soybeans rose 1.1% to $12.21-1/2 a bushel at 1054 GMT. Wheat rose 1% to $6.25-1/4 a bushel, corn rose 0.6% to $4.74-1/2 a bushel. Analysts expect China to make a small "goodwill" soybean purchase ahead of Trump’s visit to China between May 14 and 15. China could also agree to more purchases of U.S. agricultural products at the meeting.
“The market is waiting to see if China makes new promises to buy more U.S. soybeans, but the court action cancelling Trump’s import tariffs may have taken the pressure off the Chinese to buy more,” one European trader said.
Oil prices jumped over 2% on Monday as the U.S. and Iran failed to agree to a peace proposal drafted by Washington, while the Strait of Hormuz remained largely closed, keeping global energy supplies tight.
Dealers are also monitoring the weather in drought-hit U.S. wheat belts, where last week's rainfall missed some critically dry areas and may have arrived too late or in insufficient amounts to prevent crop damage. Only a little rain is forecast in the U.S. grain belts this week, with volumes expected to be moderate, while warmer weather could also threaten crop stress.
Traders said soybean price strength was limited by expectations that the U.S. Department of Agriculture may report fast progress with U.S. soybean plantings in its U.S. crop progress report due later on Monday.





















