Soybeans firm as inclement South American weather stokes supply woes

CANBERRA: US soybean futures edged higher on Thursday, as adverse weather across South America ignited concerns about a short-term supply crunch of the oilseed.

Corn firmed, rebounding from losses of nearly 2% in the previous session, while wheat also edged higher.

The most active soybean futures on the Chicago Board Of Trade were up 0.3% to $14.11-1/2 a bushel by 0348 GMT, having closed down 0.4% on Wednesday.

Analysts said wet weather across Brazil will further impede harvesting, while dry weather in Argentina threatens to stunt crop development.

"The market remains mindful of Argentina's arid weather outlook," said Tobin Gorey, director of agricultural strategy, Commonwealth Bank of Australia.

Markets are awaiting the next export data from the US Department of Agriculture later in the day.

US soybean sales in the week ended Feb. 25 are expected to total 100,000 to 800,000 tonnes, according to analysts.

The most active corn futures were up 0.3% to $5.37 a bushel, having closed down 1.8% in the previous session.

The most active wheat futures were up 0.5% at $6.59-1/2 a bushel, after closing down 1.5% on Wednesday.

Ukraine's grain exports have fallen almost 21.3% to 32.2 million tonnes so far this season, which runs from July 2020 to June 2021, economy ministry data showed on Wednesday.

Weekly sales are estimated at 450,000 to 1.05 million tonnes for corn and 100,000 to 600,000 tonnes for wheat.