CHINA’S agricultural markets suffered deep losses Friday with oilseed meal futures hitting one-month lows, tracking a sharp drop in Chicago grains prices, while worries about demand as animals drowned in floods at home also dragged on sentiment. Price losses were exacerbated as investors banked profits from a recent sharp rally that was driven by hopes the government will unleash more stimulus to prop up a sluggish economy after a survey showed factory activity had stalled in June. Dalian soybean meal futures ended down 3.9 percent, recovering from earlier losses of as much as 5.5 percent to 3,024 yuan (US$452.22), the lowest since June 3. Prices have shed more than 10 percent last week, versus a 7 percent increase in the prior seven days. Chicago soybeans have seen a similar rise and fall over the latest two weeks. Rapeseed meal closed 5.9 percent lower at 2,528 yuan a ton, after earlier touching 2,507 yuan, also the lowest since June 3. They have lost 12 percent last week, the biggest such drop ever, versus a less than 10 percent gain a week ago. “Some of the pigs and poultry have been washed away by floods and consumption [of feedmeal] is going to go down for a short term, but that is not the main reason for the price drop,” said an analyst with consultancy Shanghai JC Intelligence. “It is mainly due to prices coming down after a rally and CBOT weakening,” the analyst added. “In China, soymeal usually follows what happens in the CBOT.” Chicago Board of Trade (CBOT) soybean futures are set for their biggest weekly decline since June 2014 as near-perfect U.S. weather has boosted the prospects of a bumper crop with prices down almost 10 percent last week. China buys 60 percent of soybean traded worldwide mainly from the United States, Brazil and Argentina. Among other Chinese commodities, Shanghai rubber ended down 4.5, while cotton closed with 4 percent losses. Both these raw materials, like the oilseed meals, have enjoyed a winning streak over the past several weeks.(SD-Agencies) | 