SINGAPORE: Chicago soybeans gained on Thursday, supported by bargain buying, although expectations of record-high production in Brazil and concerns over the US administration’s hawkish trade stance with China limited the rise.
Wheat firmed on support from deteriorating crop conditions in Australia and Russia, while corn prices fell.
“South American producers are expecting big crops, which are going to be bearish for soybean prices,” said a grains trader.
“On top of that there so much uncertainty over US-China trade relations.”
The most-active soybean contract on the Chicago Board of Trade (CBOT) was up 0.3% at $9.87 a bushel, as of 0337 GMT.
Wheat edged 0.1% higher to $5.48-3/4 a bushel and corn fell 0.4% to $4.28-3/4 a bushel.
The soybean market is facing pressure as planting in Brazil was nearly complete and several private forecasters have raised their harvest outlook over the past week.
Concerns about future Chinese demand for US soybeans have weighed on the market, particularly new-crop contracts, amid rising trade tensions between the two countries.
Brazil’s 2024/25 soybean planting 18pc done, AgRural says
The wheat market was supported by concerns over crop conditions in key global producing areas. Heavy rainfall hit Australia’s bumper wheat harvest, causing widespread quality downgrade, analysts and traders said.
Winter crops in Russia for the 2025 harvest are in poor condition or have not sprouted is at an unprecedented level of over 37%, analysts from ProZerno centre said on Wednesday, citing state weather forecasting agency data.
Commodity funds were net sellers of CBOT corn, soybean and soyoil futures contracts on Wednesday and net buyers of wheat and soymeal futures, traders said.
Comments
Comments are closed for this article.