Soybeans rise to five-day high on concerns of dry South American weather

SYDNEY: US soybeans rose 0.5 percent on Monday as dry weather across South America pushed prices to a five-day high.

Corn edged higher for the first time in four sessions, while wheat was little changed.

The most active Chicago Board Of Trade March soybeans were up 0.5 percent at $9.80-1/4 a bushel by 0248 GMT, near the session high of $9.81 a bushel - the highest since Oct 25. Soybeans gained 0.4 percent on Friday.

Analysts said soybeans were drawing support amid fears that dry weather in Brazil and Argentina could curtail production from two of the world's largest exporters.

"Farmers have delayed planting in the region because of dry soils," said Tobin Gorey, director of agricultural strategy, Commonwealth Bank of Australia.

Brazilian farmers have sown 30 percent of the soy area through Thursday, roughly in line with a five-year average, but more than 10 percentage points below planting at the same time in the previous year's crop, consultancy AgRural said on Friday.

The most active corn futures were up 0.1 percent at $3.49-1/4 a bushel, having closed down 0.5 percent in the previous session.

The most active wheat futures were little changed at $4.27 a bushel, having closed down 1 percent on Friday.

Wheat is under pressure amid weak demand for US supplies.

The International Grains Council lifted its forecast for 2017/18 world grain production on Thursday, mainly due to an increased estimate of the US corn crop.