SINGAPORE: Chicago soybean futures inched higher on Tuesday, with concerns over planting delays in Brazil supporting prices, although gains were limited by a rapidly advancing US harvest.
Corn and wheat prices eased.
The most-active soybean contract on the Chicago Board of Trade (CBOT) rose 0.1% to $12.87 a bushel, as of 0254 GMT.
Corn gave up 0.3% to $4.88-3/4 a bushel and wheat lost 0.3% to $5.75-3/4 a bushel.
Brazil’s 2023/24 soybean planting had reached as of last Thursday 17% of the expected area, agribusiness consultancy AgRural said on Monday, losing steam as farmers struggle with adverse weather conditions.
The focus of the soybean market is shifting to South American planting season as US harvest is likely to be completed in coming weeks.
Significant soybean planting delays in Brazil, the world’s biggest exporter, are likely to support prices.
In the United States, farmers had harvested nearly two thirds of their soybean crop and 45% of their corn by Sunday, while soybean condition ratings improved, according to weekly data from the US Department of Agriculture.
Brazil’s 2023/24 soybean planting loses steam amid bad weather
Analysts expected harvesting to be 46% complete for corn and 57% complete for soybeans.
“Farmers are going to harvest soybeans as quickly as they can this time of year,” said Arlan Suderman, chief commodities economist with StoneX.
“The beans are dry, and they can shatter to the ground if left in the field. They want them harvested.”
The US soybean crush jumped last month to the highest-ever level for September, while end-of-month soyoil stocks thinned to the lowest in nearly nine years, according to National Oilseed Processors Association (NOPA) data released on Monday.
For wheat, competition from Black Sea origins remains strong. Russia’s IKAR agriculture consultancy raised slightly its forecasts for the country’s overall grain production and exports this season.
Russian wheat export prices continued to decline last week amid reduced demand, analysts said.
The price of 12.5%-protein Russian wheat scheduled for free-on-board (FOB) delivery in November was $225 per metric ton last week, down $5 from the week before, the IKAR agriculture consultancy reported.
Commodity funds were net sellers of CBOT corn, wheat and soymeal futures contracts on Monday, and net buyers of soybeans and soyoil, traders said.