SINGAPORE: Chicago soybeans gained more ground on Tuesday, rising almost 1% as the market was supported by short-covering and expectations of lower output in Brazil, although ample world supplies kept a lid on prices.

Corn rose to its highest in almost two weeks, while wheat gained for a second straight session. “There is some support and buying at these levels,” one Singapore-based grains trader said. “US has a lot of sell and there is stiff competition from South America for soybeans and corn, so we don’t see a big upside in prices.”

The most-active soybean contract on the Chicago Board of Trade (CBOT) added 0.92% to $11.55-3/4 a bushel, as of 0352 GMT. Corn rose 0.1% to $4.22 a bushel and wheat gained 0.4% at $5.77-1/4 a bushel. Corn touched its highest since Feb. 15 at $4.24 a bushel earlier on Tuesday.

Agricultural markets, including soybeans, corn and wheat, are being underpinned by bargain-buying and covering of shorts, after suffering losses since the beginning of the year amid plentiful supplies. Commodity funds were net buyers of CBOT corn, wheat, soybean, soymeal and soyoil futures contracts on Monday, traders said. Brazil’s 2023/24 soybean crop is expected to reach 147.7 million metric tons, agribusiness consultancy AgRural said on Monday, lowering a January forecast of 150.1 million tons after yield losses in key producing areas due to adverse weather.