Soybeans fall for 7th day as U.S. crop thrives

decrease font size  Resize text   increase font size       Printer-friendly version of this article Printer-friendly version of this article

Chicago soy fell for a seventh session on Tuesday to trade near its lowest in five months as near-perfect crop weather across the U.S. Midwest buoyed hopes of record production.

Corn edged up after sliding to a contract low on Monday but gains were capped by hopes of ample supplies as the U.S. crop enters its critical yield-determining phase in ideal weather.

Chicago wheat also ticked higher, as selling paused after the commodity's slide to a four-year low in the previous session when improving crop indications in the United States underscored the prospect of ample global supply.

Chicago Board Of Trade November soybeans lost 0.2 percent to $11.23-1/4 a bushel by 1140 GMT, after hitting a near five-month low of $11.16 a bushel on Monday.

December corn rose 0.1 percent to $4.06-3/4 a bushel, recovering from last session's contract low of $4.03 a bushel. Spot prices also rose slightly to consolidate after a near four-year low touched on Monday.

"We are seeing a further decline in soybeans as funds are liquidating positions. The November contract could fall below $11.00 a bushel by the end of this month," said Kaname Gokon, general manager of research at brokerage Okato Shoji in Tokyo.

U.S. crop conditions held steady, with soybean ratings at a 20-year high and corn ratings at a 15-year high.

The U.S. Agriculture Department's weekly crop progress and conditions report released on Monday pegged the soybean crop as 72 percent good to excellent and corn at 75 percent good to excellent. Both ratings were in line with market expectations.

"We see new-crop corn falling below $4.00 this week," Gokon said, referring to a key psychological threshold for the market.

Corn is entering its critical pollination stage of development this month. Plentiful soil moisture and warm weather throughout much of the Midwest posed little threat to developing corn and soybean crops.

The wheat market continued to be weighed down by plentiful supplies in key exporting countries and crop-friendly weather for the spring crop in the United States.

September wheat rose 0.4 percent to $5.59 a bushel, having closed down 4 percent on Monday when prices hit a contract low of $5.56 a bushel. Front-month prices edged higher after a four-year low a day earlier.

The USDA said that spring wheat ratings were 70 percent good to excellent, unchanged from a week ago. Winter wheat was rated 31 percent good to excellent, 1 percentage point higher than a week earlier, and the crop was 57 percent harvested.

Better-than-expected harvest results in Kansas, the top U.S. wheat growing state and part of a zone that suffered severe growing weather this year, have also dampened prices this week.

Falling wheat prices have stirred some demand from importers but cheaper Black Sea origins have pushed U.S. wheat out of the frame in a string of tenders.

Commodity funds sold an estimated net 11,000 corn contracts, 3,000 soybean contracts and 9,000 wheat contracts trade sources said.

* Front-month prices as of 1136 GMT Product Last Change Pct Move End 2013 Ytd Pct CBOT corn 410.25 1.00 +0.24 437.00 -6.12 CBOT soy 1357.75 -5.25 -0.39 1264.50 7.37 CBOT wheat 546.50 1.50 +0.28 616.75 -11.39 Paris wheat 182.25 -0.25 -0.14 190.50 -4.33 Paris maize 171.00 0.75 +0.44 171.75 -0.44 Paris rape 335.25 1.00 +0.30 366.50 -8.53 WTI crude oil 103.40 -0.13 -0.13 91.82 12.61 Euro/dlr 1.36 0.00 -0.05 0.00 0.00 * CBOT futures prices are in cents per bushel, Paris futures in euros per tonne, WTI crude oil in dollars per barrel. (Editing by Himani Sarkar and Susan Fenton)

Buyers Guide

Doyle Equipment Manufacturing Co.
Doyle Equipment Manufacturing prides themselves as being “The King of the Rotary’s” with their Direct Drive Rotary Blend Systems. With numerous setup possibilities and sizes, ranging from a  more...
A.J. Sackett Sons & Company
Sackett Blend Towers feature the H.I.M, High Intensity Mixer, the next generation of blending and coating technology which supports Precision Fertilizer Blending®. Its unique design allows  more...
R&R Manufacturing Inc.
The R&R Minuteman Blend System is the original proven performer. Fast, precise blending with a compact foot print. Significantly lower horsepower requirement. Low inload height with large  more...
Junge Control Inc.
Junge Control Inc. creates state-of-the-art product blending and measuring solutions that allow you to totally maximize operating efficiency with amazing accuracy and repeatability, superior  more...
Yargus Manufacturing
The flagship blending system for the Layco product line is the fully automated Layco DW System™. The advanced technology of the Layco DW (Declining Weight) system results in a blending  more...
Yargus Manufacturing
The LAYCOTE™ Automated Coating System provides a new level of coating accuracy for a stand-alone coating system or for coating (impregnating) in an automated blending system. The unique  more...
John Deere
The DN345 Drawn Dry Spreader can carry more than 12 tons of fertilizer and 17.5 tons of lime. Designed to operate at field speeds up to 20 MPH with full loads and the G4 spreader uniformly  more...
Force Unlimited
The Pro-Force is a multi-purpose spreader with a wider apron and steeper sides. Our Pro-Force has the most aggressive 30” spinner on the market, and is capable of spreading higher rates of  more...
BBI Spreaders
MagnaSpread 2 & MagnaSpread 3 — With BBI’s patented multi-bin technology, these spreaders operate multiple hoppers guided by independent, variable-rate technology. These models are built on  more...

Comments (0) Leave a comment 

e-Mail (required)


characters left

Kinze 1500 Grain Cart

The Kinze 1500 Grain Cart is engineered for speed and reliability required of custom harvesters. Load up to 1500 bushels ... Read More

View all Products in this segment

View All Buyers Guides

Feedback Form
Feedback Form