Wednesday, 26 August 2015 11:13
SYDNEY: US soybeans fell on Wednesday as gains made after China announced its latest economic stimulus proved short-lived.
Corn was unchanged, extending two-day falls to beyond 1 percent, while wheat rose, rebounding from losses of more than 1.5 percent.
Chicago Board of Trade November soybeans fell 0.2 percent to $ 8.76-1/2 a bushel, having firmed 0.43 percent on Tuesday.
Soybeans recovered slightly on Tuesday from heavy losses this week when China cut interest rates and banks’ reserve requirements for the second time in two months after a plunging stock market sent shockwaves around the globe.
But investors feared the moves would not be enough to stabilise China’s cooling economy or halt a collapse in its stock markets, with soybean prices again coming under pressure.
“Soybeans are again reflecting the broader trends,” said Phin Ziebell, agribusiness economist, National Australia Bank.
“When you look at the supply side, it is looking very healthy so there is no reason to expect any supply constraints to losses in the short-term.”
The global economic concerns overshadowed potential supply disruptions from South America.
Argentine farmers started a five-day crop sales strike on Monday, part of an election-year push in the world’s No. 3 soybean exporter to change policies.
December corn was unchanged at $ 3.77 a bushel, having slid 0.92 percent in the previous session.
Corn had drawn some support this week amid uncertainty over the size of the US crop, with a widely watched Pro Farmer crop tour forecasting production ahead of the US Department of Agriculture.
However, analysts noted benign weather conditions, with any lingering concerns over the US crop now easing.
December wheat rose 0.15 percent to $ 5.00-1/4 a bushel, having closed down 1.7 percent on Tuesday.
