Grains hit fresh lows
U.S. grain and soybean futures fell Monday, pressured by an increase in supplies as farmers advance harvests across the Midwest. Corn reached a fresh 37-month low.
Analysts estimate about 80% of the U.S. soybean harvest was complete as of Sunday, and corn about 60% complete. Farmers had collected 63% of the soybean crop as of Oct. 20 and 39% of the corn crop, according to the U.S. Department of Agriculture, which will issue new estimates Monday afternoon.
Prices for corn, the largest U.S. crop, face continuing pressure from expectations that this year's harvest will be the nation's largest ever. Some analysts think production could exceed 14 billion bushels, higher than the 13.8 billion forecast by the USDA in September.
Anecdotal reports in the Midwest suggest corn yields are greater than market watchers had expected, analysts said.
"You have a big crop coming in. There's no reason for [corn prices] to rally," said Doug Bergman, a vice president with RCM Asset Management in Chicago.
Corn for December delivery was down 8 1/2 cents, or 1.9%, at $4.31 1/2 a bushel at the Chicago Board of Trade. Futures earlier dropped to $4.30 3/4 a bushel, the lowest intraday price since Sept. 3, 2010.
Soybean prices were weighed down by harvest pressure even as Chinese-led export demand for U.S. inventories remains strong, analysts said. Mr. Bergman said yields for soybeans in the U.S. appear to be better than market participants anticipated earlier this autumn.
Soybean futures for November delivery at CBOT were down 18 1/2 cents, or 1.4%, at $12.81 1/2 a bushel. Prices earlier reached $12.75 1/4 a bushel, their lowest since Oct. 17.
CBOT December wheat futures were down 7 1/4 cents, or 1.1%, at $6.83 1/2 a bushel.
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(END) Dow Jones Newswires
October 28, 2013 11:39 ET (15:39 GMT)
DJ U.S. Corn Futures Slip to Fresh 37-Month Low; Soy, Wheat Fall->copyright