Soybeans firm on harvesting delays in Brazil

CANBERRA: US soybean futures edged higher on Tuesday as concerns about near-term supply were stoked by harvesting delays in Brazil, one of the world's largest exporters of the oilseed.

FUNDAMENTALS

The most-active soybean futures on the Chicago Board Of Trade were up 0.3% to $14.16-1/4 a bushel by 0256 GMT, having firmed 0.8% on Monday.

The most-active corn futures were up 0.1% to $5.53-3/4 a bushel, having closed down 1.2% in the previous session.

The most-active wheat futures were up 0.3% to $6.20 a bushel, having closed up 1.1% on Tuesday.

The US Agriculture Department said on Monday that 53% of the US winter wheat crop was rated good-to-excellent, while planting of the US corn crop was 2% complete.

The ratings, the government's first assessment of conditions since the crop emerged from its winter dormancy, were in line with market expectations for wheat. Analysts had predicted the corn crop was 3% planted.

Brazilian farmers had harvested 78% of the area planted with the 2020/2021 soybean crop as of last Thursday, compared with 83% at the same point last year, agribusiness consultancy AgRural said on Monday.

MARKET NEWS

The dollar sank to an almost two-week low versus a basket of its peers, moving in tandem with retreating Treasury yields from recent peaks despite signs of a robust US economic recovery.

Oil prices rose as a drop in the US dollar made crude a more attractive buy, paring losses of more than 4% incurred overnight on the prospect of producers returning more than 2 million barrels per day of supply to the market by July.

Asia's stock markets rose as another batch of strong US economic data bolstered the global outlook, while currency and bond markets paused for breath after a month of rapid gains in the dollar and in US Treasury yields.

Reuters