BEIJING: Chicago soybean futures slipped on Tuesday, surrendering gains from the previous session, as bountiful supply from South America weighed on the market.
Corn and wheat futures also failed to sustain an overnight rise fuelled by bargain buying.
The most-active soybean contract on the Chicago Board of Trade (CBOT) was 0.3% lower at $11.51-1/2 a bushel by 0423 GMT, after rising 0.3% in the previous session. Wheat fell 0.22% to $5.62-3/4 a bushel after rising 1.1% on Monday.
CBOT corn fell 0.06% to $4.29-3/4 a bushel after rising 1.2% in the previous session. Corns and beans are getting support from dry forecast in South America while lower Russian and EU wheat prices continue to weigh on US wheat prices, Bergman Grains Research said in a note. “The outlook for beans is more bearish than corn as US acres are expected to grow considerably and South American hedge pressure continues to weigh, but if corn can add value, beans will likely follow along,” Bergman Grains added.
Commodity funds were covering short positions ahead of a monthly US Department of Agriculture supply and demand report on Friday, where traders will assess the USDA’s latest estimates on corn and soy production in South America.
The USDA confirmed private sales of 110,000 metric tons of US corn to Taiwan for delivery in the 2023/24 marketing year that began Sept. 1, 2023.
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