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US Biofuels Update: Soybean, Soybean Oil Futures Move Higher, Ahead of Long Memorial Day Weekend

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Biofuels feedstock futures closed higher on Friday, though the weather forecasts for the end of May and the start of June look favorable for crops, limiting the trade's upside.

The Chicago Board of Trade July soybean futures contract closed 0.19% higher at $11.96 per bushel, while the CBOT July soybean oil futures contract settled 0.15% higher at 73.98 cents per pound.

The Chicago Board of Trade futures markets will be closed on Monday for the Memorial Day holiday.

The Nymex June ethanol futures contract settled 1% higher on Thursday at $2.02 per gallon.

Rhett Montgomery, DTN analyst, said wet weather forecasts pressured the soybean futures market.

"This kept a lid on price momentum as traders likely wished to act cautiously ahead of a long weekend with markets closed on Monday for Memorial Day," Montgomery said.

"The soybean market held to small gains in an uneventful session, closing the week. Prices faced pressure this week stemming from energy market weakness and the rainy outlook for the next two weeks across many of the most drought-heavy regions of the US," the analyst said.

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