Oilseeds complex plunged during yesterday's trading session erasing gains of previous day on account of profit booking. Soybean futures plunged by 1.5-2% as the demand in Spot market was a bit subdued.

India may export 4.5 million tonnes of soyameal in the 2009-10 season, starting October, on revival of demand abroad, even as outbound shipment of the item is estimated to dip to 3.7 million tonnes this season.

The major soybean areas of India have turned hot and dry during the past couple of weeks. This will favor the maturing crop and any harvest activities. If there are any late filling soybeans they could come under increasing stress.

USDA said the U. S. soybean harvest was 5 percent complete, behind the five-year average of 18 percent. No crop-killing freeze in U. S. Midwest on Tuesday morning but rains to slow harvest.

U. S. exports of soybeans, soy oil and meal are expected to rise sharply from October but will not be able to offset a sharp decline in South American supply, delayed harvesting in several parts of the United States has contributed to scarce soybean supplies at U. S. export locations, but we expects the situation to reverse in coming months as harvesting picks up.

Expectations that palm oil exports in September will fall prevented prices from moving higher, palm oil shipments may fall
6%-9% on month to around 1.20 million-1.25 million tons, there has been talk of a slight decline in shipments to China, which may have led to a drop in export figures. Malaysia's palm oil production may rise from September to November, and trade participants fear that sluggish demand may lead to a rise in palm oil stocks, which may pressure CPO prices lower.

Soybean futures may trade sideways to down as it is about the time of peak arrivals to start in the Spot market, this in turn might put some pressure on the prices.