CHICAGO: US soybean futures closed lower on Friday as pressure from a fast-advancing US harvest offset early-session support from hopes that upcoming US-China talks could revive stalled soybean trade. Corn edged lower on the prospect of rising supplies from a likely record-large US crop, while wheat firmed on short covering and technical buying.
Despite the losses in soybeans, the market posted its first weekly advance in three weeks, rising nearly 25 cents a bushel from midweek lows after comments by US President Donald Trump that soybeans would be a major topic of discussion when he meets with Chinese President Xi Jinping in four weeks.
Meanwhile, US Treasury Secretary Scott Bessent on Thursday predicted a “pretty big breakthrough” from the Trump-Xi talks while also flagging US government aid for soybean farmers.
“We had a little Trump bump,” said Don Roose, president of US Commodities. “It’s seller beware when you’ve got the administration out here trying to talk more positively about negotiations.” The soy market remains anchored by below-normal export sales and expectations for a large US harvest.
Importers in China, the top US soy market by far, have not yet bought soybeans from the autumn US harvest. Chicago Board of Trade November soybeans rose as high as USD10.28-3/4 a bushel before falling back to close 5-3/4 cents lower at USD10.18. The contract gained 0.4percent in the week in its first advance in three weeks.
December corn futures ended down 2-3/4 cents at USD4.19 a bushel. CBOT December wheat was up 1/2 cent at USD5.15-1/4 per bushel. The US corn harvest is also advancing quickly, helped by warm and dry weather across the Midwest corn belt.
However, government data tracking harvesting progress will not be available due to a US government shutdown. The stalemate in Washington is also likely to delay the release of a critical crop supply and demand report next Thursday.
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