SINGAPORE: Chicago soybeans lost more ground on Tuesday to trade at their lowest level in six weeks, as the absence of Chinese buyers and the expectation of increased competition from rival exporter Argentina weighed.
Wheat dropped to its weakest level since mid-August, while corn slid for a second straight session. “Argentina’s announcement to drop export tax is bearish for beans and corn,” said one Singapore-based trader. “US market was already suffering due to no Chinese buying.”
The most-active soybean contract on the Chicago Board of Trade (CBOT) lost 0.5 percent to USD10.06 a bushel by 0232 GMT, hitting its lowest since August 12 and heading for a fifth straight session of decline. Wheat fell 0.5percent to USD5.08-1/4 a bushel and corn gave up 0.2 percent to USD4.20-3/4 a bushel.
China, the world’s largest soybean importer, has stopped buying US soybeans, instead turning to South American supplies amid trade tensions with Washington.