November soybeans were 2 1/2 cents higher overnight. Malaysian palm oil futures were down 1.4% overnight. Crude oil was slightly higher overnight and the dollar was lower.

November soybeans made a new low for the move yesterday and a new low close for the move. Funds were sellers again yesterday although in smaller amounts than in previous sessions according to floor traders. Soybeans posted small gains overnight, but oil was lower and meal was mixed to slightly lower. The CFTC released preliminary findings from its investigation of speculative trade in energy markets and announced that it would bring charges against one company. Congressional and CFTC probes of the energy markets are expected to continue. This week's export sales were very strong for soybeans and near the high end of expectations for meal. Net old crop sales for soybeans were 183,000 tonnes with net new crop sales at 552,400 tonnes. Net meal sales were 80,300 metric tonnes for old crop and 88,000 for new crop for a total of 168,300. Oil sales came in at 11,200 metric tonnes for the current marketing year and 8,600 for the next marketing year for a total of 19,800. Sales of 32,600 tonnes are needed each week to reach the USDA projection. Sources in China report continued buying interest in soybeans following reports that China bought 1 million tonnes of soybeans and 400,000 tonnes of soy oil this week. This stands in contrast to palm oil markets where demand has remained weak. Cash markets in the US were mostly steady yesterday.

The past 24-36 hours have seen light to moderate rains across much of Nebraska with moderate to heavy amounts in western and central Iowa, northern Missouri and southern Illinois. Forecasts generally call for above normal temperature for the next week to two weeks with the possibility of well above normal temperatures into the first week of August. Forecasters disagree as to whether the hottest temperatures will remain west of the Mississippi or gravitate to the central Midwest over the long ter. In the short term, rains are expected in western growing areas today with high humidity blanketing most major growing areas over the short term. This should temper any negative effects from the heat over the short term. Mississippi may see some rains tomorrow, but the rest of the Delta is likely to remain hot and dry into next week. Bangladesh has issued a tender to buy as much as 3,000 tonnes of soy oil.