Chicago soybeans, corn edge higher as crude oil firms

BEIJING: Chicago soybean and corn futures rebounded on Tuesday after two sessions of losses, supported by firmer crude oil prices amid tempered optimism over US-Iran peace talks.

The most-active soybean contract on the Chicago Board of Trade (CBOT) was up 0.26% at $11.44-1/2 a bushel, as of 0401 GMT, while corn rose 0.24% to $4.12-1/2 a bushel.

Stronger crude oil prices provided support for soybeans and corn given their role in biofuel production.

Soybeans were also underpinned by renewed Chinese buying last week, with traders looking for signs of bulk purchases. Beijing is expected to buy around 25 million metric tons of US soybeans annually through 2028.

Gains in soybeans were however limited by ample global supplies.

In Brazil, the soybean planting area for the 2026/27 crop year is forecast to reach a record 49.006 million hectares, a 0.9% increase from the previous cycle, consultancy AgRural said on Monday in its first forecast.

In its weekly crop progress report on Monday, the US Department of Agriculture (USDA) left its ratings of US corn and soy crops unchanged from last week, with corn in 68% and soybeans in 66% good-to-excellent condition.

Wheat was steady at $6.07-1/2 a bushel after US winter wheat ratings came in below expectations due to drought.

The USDA said winter wheat ratings dropped 1 percentage point from last week to 26% good-to-excellent, below the average analyst estimate of 27%, after a severe drought in the US Plains wheat belt decimated the crop.

However, advancing US harvest activity and favourable crop prospects in Russia and Ukraine continued to weigh on prices.

Commodity funds were net sellers of CBOT corn and soybean futures on Monday, traders said.